A supporter of Martin Lewis shared how she managed to lower her annual water bill by £400. Jennifer, a reader of MoneySavingExpert.com, initially faced a bill exceeding £800 per year. However, following guidance from the website, she explored a water social tariff and discovered she could slash her bill by half.
Water social tariffs offer discounted rates for water and sewerage charges, typically catering to individuals with low incomes or those receiving benefits. Eligibility criteria and available support vary among water companies, with an estimated 3.8 million households potentially missing out on these benefits.
In a recent MoneySavingExpert newsletter, Jennifer expressed her gratitude for discovering the social tariff option. By applying for the scheme after learning about it on MSE, she secured a 50% reduction in her bill. For instance, Affinity Water caps bills at £143.80 annually or £95.80 for those receiving council tax support.
To qualify for such schemes, individuals must have an income below £19,995 (excluding benefits) or be recipients of specific benefits like Universal Credit or Pension Credit. Companies like South East Water offer the Big Difference tariff, providing a 30% discount for households earning between £17,000 and £21,000, with a 50% reduction for incomes below £17,000.
Water bills in England and Wales are set to increase by an average of £33 per year from April, representing a 5.4% hike, surpassing the current inflation rate of 3.4%. Water companies, authorized by regulator Ofwat, were permitted to raise average bills by 36% over a five-year period until 2030 to support a £104 billion investment plan for infrastructure and pollution prevention.
Although switching water companies is not an option, there are ways to save money, such as reducing water consumption. Simple actions like shortening shower times and turning off taps when not in use can contribute to bill savings. Additionally, individuals can explore free water-saving devices available through platforms like Save Water Save Money and consider installing a water meter as recommended by financial expert Martin Lewis for potential savings.