Household Bills |
|
Your Money > Household Bills Articles > Water bills: A rising cost
|
|
By Sarah Modlock
We may be known for our rainy weather and our pride at being an island nation, so why is it that are water bills are so high? And what can you do to trim the cost? Your water bill could soar by more than 40 times the rate of inflation from this month as regulator Ofwat allows suppliers to bump up prices by an average of 4.1%. The rise of around £13 will leave the average household paying £342 a year and is a far bigger hike than expected. Southern Water has been allowed to up its prices by 5.6% - or £20 a year - takings its average annual bill to £370. The most expensive of the 10 combined water and sewage companies is still South West Water where, despite prices rising just 0.9%, the average customer will be left with an annual bill of £489. They say the extra money is vital for replacing ageing pipes, cleaning beaches and maintaining drinking water quality. The Water Table - Rate increases by company
Of the 12 firms that only supply water, just two - Bournemouth & West Hampshire and Folkestone & Dover - are actually lowering prices. Drip, drip, drip But if these rises are depressing, get ready for even bigger price hikes of up to 29%. Water companies gave their plans and price rise projections for 2010 to 2015 to industry regulator Ofwat at the beginning of April. Ofwat looks at spending and charging proposals every five years and will make its final decision on who can charge what this November. Thames Water - among the most expensive in the country - has asked for permission to increase its customers' average annual bill by 17% from £283 to £331 in 2015. Some of the smaller companies, such as Bristol Water, which supplies water but not sewage services to more than half a million customers in the South West, announced proposed rises of 29% from an average annual bill of £146 to £189 in 2015. Most water companies plan to upgrade and improve their networks and plants between next year and 2015 and want to pass £22.5billion cost on to customers. Thames, which plans to invest £5.5 billion during a five year period, blames the deteriorating economy for the price rises. Will a water meter save you money? They may have seemed like a fad when first introduced but water meters could become the norm for households in the UK, especially if the environment agency has it's way. It wants to see 'near universal' water metering in England and Wales, particularly in places vulnerable to water shortages, saying that home with meters used on average 10-15% less water than those without. It argues that people who cut their water use often find other bills fall as well, as about 40% of energy bills go on heating water for washing dishes and clothes, bathing and showering. That's great for the environment but do water meters always make financial sense? There are no guarantees, it seems. Neil Fishpool, from the Campaign for Water Justice, said the Environment Agency should be putting more pressure on the water companies to put their act in order, before tackling the consumers. "Water is an absolutely essential commodity. We can all do without gas or electricity at some stages. But you try living without water," he said. "To meter everybody regardless of their circumstances or how many children they have is absolutely a recipe for disaster." If you have a water meter, you pay for what you use. It's also easier to tell if you have a leak. But whether the meter will be cheaper depends on how much water you use. If you love baths more than showers, have a single-flush loo and use the washing machine, dishwasher or hosepipe often, then you will probably not feel the benefits. The rule of thumb is that if your home has more bedrooms than people then a meter could save you money. To find out for sure use the water calculator on the Consumer Council of Water website - www.ccwater.org.uk. If you decide to go ahead with a meter then your water company is obliged to fit one for free on request, although if you want it in a different site to the one they suggest, you may be liable to pay the difference. The company is also obliged to allow you to switch back to a flat-rate charge if you are not happy with the fitted meter after one year. In a block of flats, individual households can have their own meters as long as the water supply can be separated. Keep a close eye on bills, especially if you have a shared meter, as you don't want to be getting the bill for your neighbours' water too. If you have a dispute over your bill, first write to your supplier. If you don't receive a proper and comprehensive reply within 10 working days, you're entitled to £20. If you're still not happy, contact CCWater at ccwater.org.uk where you can also get a rundown of regional CCWater telephone numbers. Holy water It's not just homes that are suffering the effects of more water costs. Churches across Britain are struggling to pay because of 'Rain Tax' or surface water drainage charge, means that buildings are charged for any rainwater that runs from them or their grounds into public drains. The larger the site, the more water it catches, and the bigger its bill. Some churches' water bills have risen from £70 to £800 per year. Sports clubs are also feeling the pinch over the surface water charge, with one club seeing a 15-fold increase from £200 to £3,000 and others forced to close because of the costs. Clitheroe Cricket, Bowling and Tennis Club in Lancashire, that has seen its annual bill rise from £200 to £3,000 and Mellor Sports Club in Stockport, which will see its bill rise from £800 to £6,000 in 2010. Of course, the knock-on impact to members is only a matter of time. If you're affected by this then you can join the campaign for fairer bills at www.dontdrainus.org. Leave it to beaver No, it's not an April Fool, beavers are being welcomed back into England as they could help bring water bills down by cleaning rivers and preventing flooding. Researchers believe their natural habits would save spending on treatment works and flood defences in some areas and costs would be reduced for the end user. The study for Natural England, the Government's wildlife advisers, and the People's Trust for Endangered Species, raises the prospect of an eventual return of this shy, nocturnal creature to almost any English river, even the western reaches of the Thames in London. And despite resistance from landowners and farmers, it seems that at least one water company - South West Water - is keen to deploy furry friends. Who knows, they could be coming to a dam near you.
Useful links: |
| ||||||||||||||||