Blackpool Council has been granted a self-supply licence for the water retail market.
The licence will allow it to buy water supply and wastewater services directly from United Utilities for its buildings and associated premises.
It will also see the local authority manage its own retail services for more than 120 sites across the borough.
The move is estimated to achieve cost savings of up to £194,000 over three years. In the first year, anticipated savings are expected to be in the region of £50,000, with the potential for further savings through additional cost and consumption efficiency projects.
All businesses granted self-supply licences so far have entered into partnerships with consultancy Waterscan.