WATER bills in Kent could soar because of an Appeal Court ruling. Prices by Southern Water, which controls water reservoirs in West and North Kent, are likely to rise following a case in which a water company was found to have breached European human rights after a private garden was flooded by waste from sewers.

Thames Water may need to find £1 billion extra revenue to cover the cost following the landmark ruling. Previously, water companies had not been held generally responsible for flooding from sewers.

A spokesman for Southern Water, based in Worthing, west Sussex, said: "We got a copy of the ruling at the end of last week and it raises a number of complex issues which we are investigating." The possible price increase follows an industry-wide lowering of water bills in 1999 due to a ruling by the industry regulator, Ofwat.

Snodland-based Mid Kent Water, which supplies drinking water only, said its prices would be increased - but not as a result of the court ruling.

A spokeswoman said the regulator had agreed to the company's plans for an additional investment in its pipelines of £1.5 million each month over the coming year. The investment drive means bills will rise by about four per cent in April.

She said: "There will be minor variations in prices. Bills will rise by four per cent for unmetered domestic customers and by 4.2 per cent for metered customers."

Thames Water is currently considering an appeal to the House of Lords against the Appeal Court ruling.