Household Water Bills Set to Rise Across England and Wales
Millions of households in England and Wales are preparing for a significant increase in their water bills, with an average rise of 5.4% confirmed to take effect from April. This latest hike, officially announced by the regulator Ofwat at the end of January, will add approximately £33 to the annual costs for the average household. This follows a substantial 20% increase last year, which saw bills climb by an average of £86 per household.
The impending rise in water charges arrives amidst a broader landscape of escalating household expenses, placing additional strain on personal finances across the nation. Unlike other essential services, consumers have no ability to shop around for a more affordable water provider, according to household finance expert Greg Marsh, CEO of Nous.co.
No Alternative Suppliers Available
"Unfortunately, unlike mobile phone providers or broadband or energy suppliers, there’s nothing you can do to shop around for a cheaper water supplier," Marsh explained. He added, "Your water supplier is your water supplier, and it’s essentially a postcode lottery."
While consumers might routinely switch energy providers to secure better deals, the same strategy simply does not apply to water services. This leaves many households wondering what options, if any, exist to mitigate these rising costs. Financial experts have identified three key strategies to help manage and reduce water bills.
Install a Smart Water Meter
If you have not already installed a water meter, Marsh strongly urges you to consider getting one by contacting your supplier. "Why would you want to do that? You might think, well, I don’t want them to know exactly how much I’m using," says Marsh. "But if your house has more bedrooms than people, get a smart meter – you’ll probably save money."
According to the government’s Environment Agency, only 12% of homes in England currently have smart water meters installed. Marsh adds: "The other benefit of having a smart meter is you’ll know you’re paying for exactly what you consume, which in turn means if you do want to cut down your water bills by, for instance, having smaller baths or being thoughtful about what settings you have for your washing machine, then it means you’ll benefit from those economies."
Check Eligibility for Social Tariffs
Anyone who is on benefits or earning under a certain amount "may be able to access a social tariff from their current supplier, and that can cap or reduce your bill by as much as 90% if you’re on a really low income," says Marsh. He says it’s "definitely worth speaking to your supplier" to see if you might qualify, as each company has a slightly different set of criteria.
For example, Thames Water operates the WaterHelp scheme. Those whose bill is more than 5% of their net income are eligible, depending on the number of occupants in the household, and could receive a 50% discount on their water bill.
For Northumbrian Water, eligibility criteria include having a total household income of £30,000, with your annual water and sewerage bill exceeding 4% of your net household income after housing costs, or if someone in your household receives Pension Credit. Those eligible could see their water bills reduced by up to 50%.
Similarly, Southern Water has multiple schemes available for those struggling with their bills. Nicky Chitty, the affordability and vulnerability lead at Southern Water, says: "There’s lots that we can help people with. My main message for somebody that needs some support is just reach out to whoever their supplier is. There will be support there for them."
Reduce Water Usage Through Simple Changes
Particularly if you’re on a smart meter, reducing your water usage is the "obvious answer" for getting bills down, says Marsh, even if "it’s not always the fun answer." According to Daniel Lintell, sustainability manager at Triton Showers, "Small behaviour changes" can have a huge impact, because "every drop makes a difference."
"Showering accounts for probably a quarter of a typical household’s water usage," he suggests. "So more efficient showering is going to reduce your water consumption – and one of the key additional benefits of reducing your water usage of showering is you’re going to bring down your energy costs quite considerably," because you don’t need to heat up quite so much water.
While shorter showers will make a difference, there are also other things you can do, Lintell says – such as not running your shower for ages to ‘warm up’ before hopping in. "You don’t need to run it for minutes and minutes and minutes – it’s wasted time, it’s wasted energy and it’s wasted water."
He adds: "If you’ve got a mixer shower, consider pausing your shower whilst you’re shampooing. A lot of people get their hair wet, put the shampoo in, step away, and leave the shower running." You could also look at investing in a flow regulator to reduce the flow rate of your shower, thus using less water, with Lintell saying: "You probably will not notice the difference from an experience point of view."
Outside of the shower, Lintell recommends using the eco mode on appliances like the dishwasher or washing machine. "That’s what they’re there for. The engineers have spent years developing them, caring about every single drop, optimising it – so let the machine do the work for you."
By implementing these three strategies – installing smart meters, checking for social tariffs, and reducing water usage – households can better manage the financial impact of the upcoming 5.4% increase in water bills, providing some relief amidst rising living costs.
