Water bills to fall by up to £110 over the next five years
HOUSEHOLDS could see water bills slashed by up to £110 by 2025, under new rules.
Water regulator Ofwat has set the tough new standards but companies can appeal its recommended prices with a final decision due in December.
Most providers will introduce a big bill reduction from April next year and then keeping prices stable for the following four years.
This will mean customers can start making the savings straight away.
Households will see an average bill cut of £50 over five years, but plenty of companies are slashing costs even further.
Northumbrian Water customers are set to make the biggest savings with a bill reduction of £110 starting immediately from next April.
Over the five year period, that means customers will save a whopping £550.
At the other end of the scale, customers of Welsh water supplier Hafren Dyfrdw stand to save the least.
The firm is reducing bills by £7 starting from next April, meaning customers will only save £35 in total by 2025.
A few companies are staging their bill reductions over the five-year period, meaning their customers will save more each year.
An example of a firm staging the decreases is South West Water, which is dropping prices from £527 this year to £489 in 2020-2021.
Every year after that the prices drop again reaching the new lower price of £450 by 2025.
Over the whole period, customers will save a tidy £292.
Portsmouth is currently the cheapest water supplier in England and Wales - charging £102 a year.
Under the watchdog's new prices, the company will remain the most cost-effective with water bills coming in at £90 from April 2020.
What you can do now to save money on your water bills
HERE are a few ways that you can cut your bills and keep costs down.
- If you’re struggling to pay your bill, discuss it with your water company. Some offer freebies to help you reduce the amount of water you use, such as save-a-flush devices and special showerheads
- Check what water and sewerage services you receive and claim a rebate for any you're not getting
- Check that you are paying the correct tariff
- If you aren't already on a meter, check if you can reduce your bill by having one installed free of charge. CCWater has an online water meter calculator which can help you see if you'll be better off
- If you have more people in your house than rooms, you'll probably save money by having a meter
- Read your meter regularly - it can help save you money
- Look for ways to reduce your water usage if you're on a meter eg turning off the taps when you're brushing your teeth
The most expensive water company regulated by Ofwat is South West Water, which charged £527 this year on average.
Customers will be relieved to get a 15 per cent price cut, but will still be paying more than any other region at £450.
The second most expensive company will be Wessex Water which will charge £390 by 2025 - £60 less than South West.
As well as cutting bills, Ofwat's plans include water companies investing £6million every day over the next five years to improve the environment and services for customers.
Targets include cutting pollution, cutting leakage, reducing supply interruptions, and doing more to help the 1.5million customers who struggle to pay their bills.
Ofwat chief executive, Rachel Fletcher, said: “The package we are unveiling today signals a brighter future for customers, with better services, a healthier natural environment and lower bills."
You can't switch water provider to save cash but you can tackle other household services.
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