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Water Bills Going Up £94 Over 5 Years: Tips To Save Money

Water bills are set to increase over the next five years as companies face pressure to stop spills, solve leaks, and go green. We investigate strategies to save on water bills, and reveal clever hacks to reduce what you use.

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The water regulator, Ofwat, announced in July that bills will rise by £19 per year over the next five years – an increase of 21%.

The price hike will cost households £94 over the five years and it comes just a few months after TV and telecoms companies ramped up the cost of streaming services, internet and mobile phone contracts.

Unlike Netflix or Disney+, water isn’t something you can choose to unsubscribe from. Nor can you shop around for an alternative provider. However, there are steps you can take to tackle rising water bills. 

Why is my water bill going up?

Leaking pipes and sewage scandals may be the most talked-about issues, but essential work is needed to improve water infrastructure all over the country. There is also growing pressure on water companies to demonstrate greater environmental responsibility and invest in greener technology. All of this comes at a cost.

Ofwat has approved the latest price hikes to help fund the improvements. But, conscious of affordability, the regulator knocked down the price increases by a third compared with what providers had wanted to charge.

How to work out if a water meter can cut your bill

Having a water meter means you will only be charged for the amount of water you use, plus a standing charge, similar to how a standing charge is added to energy bills

Customers with a water meter use an average of 126 litres per person per day, compared with 177 litres used by customers without a meter according to Water UK, the trade association for the water industry. It claims customers on water meters think more about their water use, knowing that they can save money by using less.

If you don’t have a water meter, your water bill is made up of the standing charge plus an estimated usage based on the rateable value of your property. It’s assumed that your household will use a similar amount of water to households in a similar type of home. 

If you’re thinking about switching to a water meter, consider how many people live in your home. Water bills are estimated based on the number of bedrooms in your house. As a rule of thumb, if you have more bedrooms than people in your home, you may be financially better off with a meter, though this isn’t guaranteed.

If you request a water meter, but your provider can’t install one, you can ask to be moved to an assessed charge. This takes into account the number of people living in your property, not just the number of bedrooms, which could help lower your bill. 

Once you have a water meter in place, any additional water-saving measures you implement, such as the tips below, can help lower your water bill.

How can I use less water in the kitchen?

How can I use less water in the bathroom?

How can I use less water in the garden?

How can I get help with my water bill?

In September 2023, Citizens Advice estimated that one in four people in the UK had fallen behind on at least one bill, with inflation driving up the cost of essentials. 

To help, water companies “proposed increased support for those struggling to pay, with an estimated 1.4 million more customers to pay reduced tariffs,” according to Ofwat’s 2024 price review.

If you’ve missed payments to your water company, contact its customer support team. It should explain your options for spreading the payments or switching to a different method of payment that’s easier for you. Ask your provider about affordability schemes for families on low income or people living alone.

If you think your water bills are too high for the amount you use, check for leaks. The Consumer Council for Water has an online calculator to help you estimate how much you would pay on a water meter, so you can decide whether to request one.

Image source: Getty Images

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