WATER and electricity bosses are expected to come under attack this week as they reveal another leap in profits.

United Utilities - parent company of privatised North West Water and Norweb - is forecast to reveal profits of up to £489 million, compared with last year's figure of £273 million.

The figures are expected despite the fact that United Utilities will have to write off £83 million after problems on a project in Bangkok.

And city experts believe shareholders in United Utilities, led by chairman Sir Desmond Pitcher, will see their dividends increase by 14 per cent.

Water watchdog Margaret Smith, regional manager of the Water Services Committee, said the losses on the Bangkok project would not affect local customers.

"Water services in the region are ring fenced and the overseas projects are separate. "But when these overseas projects start to produce profits we will be calling for some of that money to be put into the local water system here."

And Mrs Smith also called for an automatic system which would benefit customers if profits and dividends increase.

"We would like to see an automatic trigger which would benefit customers. If dividends are increased by 10 per cent for example, customers would get a £10 rebate."

Because of Stock Exchange rules United Utilities said they were unable to comment on speculation over this week's profits announcement.

In February United Utilities blamed delays and problems with the authorities in Bangkok for additional costs on a contract to construct a sewage treatment works in the city.

The company could also find itself hit by the government's planned windfall tax which is expected to be detailed in next month's budget.

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