Six out of the 21 water companies in England and Wales have failed to meet their annual leakage targets according to the industry regulator Ofwat.

In its annual report Ofwat has  said that although the companies have continued to deliver safe, reliable supplies, nearly a quarter had not met their leakage targets.

At 7.3% above target Yorkshire Water had the worst performance. The company lost an average 295 million litres of water every day – 20 million more than the target set by the regulator.

It is the first time that so many of the companies have failed to meet the annual targets. Last year’s severe winter, which saw a surge in burst pipes reported, may have been a significant contributory factor.

Ofwat’s report is one of the BBC’s lead news items this morning. Speaking on Radio 4's Today programme, Ofwat Chief Executive Regina Finn said:

"These companies are on watch, they know that we'll take tough action. We have in the past - we've made companies invest their own money in fixing these leaks. We expect these companies to restore their service."

Other companies who missed the leakage targets include:

Cambridge - 1.4% above target
Dee Valley - 2% above target
Northumbrian - above target 1.5% (Essex and Suffolk), 3.3% (North East) above target
Southern - 3.3% above target
Veolia Central  - 3.6% above target