South West Water (SSW) has pledged to not raise standard tariffs and standing charges for householders and businesses next year.
The Exeter-based water and sewerage company has also proposed to keep average bill rises below inflation up to 2020 for all of its 800,000 customers.
The move comes after bills in the region tumbled by 7.3% this year after the Government contributed £50 per household as a result of the South West region’s bills being “unusually high”.
SSW’s average combined household bill is currently £499 – the highest in the country.
Chief Executive Chris Loughlin said: “We’ve talked to thousands of customers and businesses to prepare the best investment plan we can and they have told us consistently they don’t want to see any erosion in services but are worried by rising household bills now and in the future.
“We can help all household and business customers now by not putting a penny on any of our standard water and sewerage tariffs and standing charges until April 2015.”
Thames Water is continuing the fight to add an extra £29 to the annual average household bill after Ofgem rejected its request.