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UK News
The firm was unable to cope during high demand, Ofwat says, leading to "immense stress" for customers.
It is also the first time the target has been lowered since it was cut to "around 5%" in 2023.
The interest rate set by the Bank of England affects mortgage, loan and savings rates for millions.
If oil prices remain high for some time, the knock-on effects could affect the costs of fuel and food
Experts have warned that if oil and gas prices remains elevated it could make goods and services more expensive.