Severn Trent Water has been accused of using questionable accounting methods to inflate its balance sheet by £1.68 billion, raising concerns over its financial health and shareholder payouts. An investigation revealed that the company’s valuations are not based on actual assets, with critics asserting that the financial statements mislead stakeholders. Despite the allegations, Severn Trent insists the accounts are not misleading. The controversy has reignited calls for the company to reinvest profits into local environmental issues instead of prioritizing dividend payments.