Households in England and Wales with expansive gardens or swimming pools may soon face higher water bills, under new proposals by the country’s water providers. Aiming to reform how water usage is measured and charged, the industry body representing 16 regional water and sewage companies is pushing for mandatory water meters and a tiered billing system.
Water UK, the trade association behind the proposals, is urging a shift away from the current model, where most homes pay a fixed standing charge regardless of actual consumption. The organization argues that more accurate billing based on individual water use is essential, particularly as climate change and population growth place increasing strain on resources.
Currently, water meters are compulsory only in regions officially designated as “water-stressed.” In other areas, many households still lack meters, with around 40% of homes in England not metered at all. Water UK proposes that this needs to change — calling for legislation that would allow companies to roll out “block tariffs.” Under this system, the cost per unit of water would rise for high-usage households, encouraging more efficient consumption and ensuring those who use more water pay more.
The proposals are part of a comprehensive 180-page submission to the Independent Water Commission — a government-appointed body tasked with reviewing the water industry. The Commission, led by former Bank of England deputy governor Sir Jon Cunliffe, is evaluating long-term reforms to rebuild public trust in the sector. Final recommendations are expected in June.
Public dissatisfaction with water companies has surged in recent years. Critics have highlighted rising executive pay and shareholder dividends, even as service quality has declined, water supplies have been threatened, and pollution incidents — including sewage discharges into rivers — have increased.
In response to these concerns, the Department for Environment, Food and Rural Affairs emphasized its ongoing efforts to reform the sector. These include provisions in a new Water Act that allows for harsher penalties against polluting firms and empowers regulators to curb bonuses for executives involved in environmental breaches.
David Henderson, Water UK’s chief executive, said the proposals reflect a shift in thinking about water usage. “The assumption that there would always be enough water for everyone to use however they liked is no longer valid,” he said. “It’s much fairer for people to pay based on how much they use, with safeguards in place for those with genuine additional needs.”
Henderson also argued that a focus on keeping bills low has hindered long-term investment. “Since 2010, real-term household water bills have fallen, but that’s come at the cost of underinvestment in infrastructure. While bill increases are never welcome, they’re necessary to ensure a sustainable water future.”
As the review progresses, the push for metering and pricing reform is likely to fuel debate around fairness, affordability, and the urgent need to modernize the water industry in the face of environmental challenges.
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