Customers will not have to wait five years to receive the benefits of these changes - they will begin with large cuts in 2020 with customers′ right across the north east seeing a 10% cut in their water bills and a 12% cut to their sewerage bills.
These reductions will extend to 12% and 14% by 2024/25, meaning even more savings for customers.
As well as receiving a discount to their bills, customers will also benefit from a £36 million investment in the company′s customer service systems and digital platforms.
This will mean less time waiting on the phone for people and improved, simpler and more consistent communications with the company.
Customer Service Director Claire Sharp said: "While other water companies are having to increase bills we′ve been very successful in running an efficient business and we are in a fantastic position to be able to pass these benefits on to our customers.
"The ability to be able to cut our customers′ bills by up to 14% has been down to great forward planning as a business and good investment in our assets and networks."
The announcements come from the water company′s 2020 - 2025 business plan that was submitted to OFWAT this week and is part of the company′s aim to give an unrivalled customer experience to the people and communities it serves.
More than 400,000 customers, around 10%, were directly involved in the creating of the company′s plan and Northumbrian Water are hoping to build on that unprecedented level of customer participation by promising that every single customer will have the chance to engage with the company by 2025.
Claire Sharp added: "We start from a fantastic position with our customers, as we have consistently been rated the most trusted water company in the country. But our benchmark for customer experience is not just within our sector.
"Our aim is to be truly world class, with an ambition to be rated in customer surveys alongside the best in all industries."
To find out about ‘Our Plan′ visit www.nwgourplan.co.uk and follow us on social media @NorthumbrianH2O / @northumbrianwater #NWOurPlan