A WATER company has told Colchester residents their bills will not rise by more than inflation for five years.

Anglian Water has proposed capping its price rises between 2015 and 2020 after a consultation found customers were most concerned about their bills.

If the plans are approved, average annual bills for those receiving water and wastewater services will rise to £499 by 2020, if inflation increases as forecast.

The limited rise will leave the company with £2 billion to spend on fixing leaks and further investment to improve services.