FTSE falls on utilities price warning

The City's blue chip index was down 6.10 points (0.14%) to 4,487.63, as water and sewage-related firms struggled. Water regulator Ofwat outlined proposals that would see the average water bill cut by £14 to £330 before inflation, between 2010 and 2015. United Utilities Group has plunged 6.07% to 472p, while Severn Trent has fallen 4.58% to £10.62. Pennon Group is down 3.84% to 488p. On the bright side, mining and resources firms have rallied, with Fresnillo up 3.98% to 613.5p. Xstrata has climbed 2.73% to 744.8p while Kazakhmys, Vedanta Resources and Rio Tinto have also made early...