Water Charges set for inflation busting rises

Introduction

Previously agreed water charge increases come in to affect from 1st April 2009. This was agreed sometime ago and it is 1.1% above the latest inflation rate, currently 3%. Ofwat have suggested that this should increase the average water bill by £13 per year. Some water companies such as South West Water are increasing their prices by as little as 0.9%, but they do currently have one of the highest tariffs.

More on the way

Ofwat are currently developing the pricing strategy for the years 2010 to 2015. During uncertain economic times, clearly this is a very difficult balancing act.

Reasons for the rise

There are a number of factors which have been considered in determining the level of money needed to improve or maintain the level of service. We have been very fortunate in the UK that we developed a world leading water network, but this pioneering period has left the UK with an aging network of both water supplies and sewerage.
There is also increased demand in certain already over-stretched such as the South East of England. Several articles have suggested that this area has less water per head than parts of Africa and this highlights the need to maintain the network. For some years now, we have heard of massive leak rates directly resulting from old pipes.

What else can be done?

Clearly investment is needed and will always be, but this must go hand in hand with other water measures. The Code for Sustainable Homes tackles this issue for new-build domestic homes, but there is little incentive to make water saving measures for the current housing stock. New-build accounts for maybe 1%.
Individuals can take steps to reduce their expenditure on water, some of these are listed below:

1) Aerated taps
2) Aerated shower heads
3) Smaller baths or filled to a minimum
4) Rainwater harvesting (suitable for times of renovation or a simple garden system)
5) Displacement of WC cistern volume with a brick or bottle filled with stones.

There are plenty more ways to reduce water in the home. But obviously, should any of the above measures be taken, the property should be metered and not on a rates or fixed charging structure