THE Government has demanded further improvements in water quality in the North-East amid concerns over domestic price rises.

Environment Secretary Margaret Beckett said she had issued guidance to watchdog Ofwat detailing improvement measures water companies in the region must take between next year and 2010.

They are expected to continue programmes to tackle old, corroding water mains, improve water treatment works and further reduce the level of lead in drinking water.

Other issues needing to be addressed include bringing more inland waters up to the standards required for fresh water fish.

The region's biggest water company, Northumbrian Water, warned last year that more spending was needed to meet tough new water quality standards and said that domestic pricing levels were unsustainable.

Customers' bills are now set to rise by £21 to an average of £233 by April.

Mrs Beckett said: "The programme of work set out in the guidance is part of a long-term process and builds on the work undertaken in previous periodic reviews to again raise the standards of our drinking water and of water in our environment even further."

She added: "I am concerned about the effect of water bills, especially on those least able to pay.

"Changes to our policies on drinking water and the environment cannot avert increases, but in a climate of rising water bills I have closely scrutinised the need for, and benefits of, further policies to improve water companies' standards."