Water bills are set to stretch your household finances even further. Here's how to beat the price hikes.
It feels like the cost of living is going up faster than Usain Bolt’s world record-breaking 100 metres! Food, petrol and energy prices have already increased way above the official rate of inflation. As if that wasn’t stretching your finances enough, now rising water bills look set to be the next blow to your budget.
Water companies have just submitted pricing proposals to the water regulator, Ofwat. In November 2009, Ofwat will review whether each company can justify new charges for the period from 2010 to 2015. But the initial pricing estimates suggest many of you will be paying more for your water bills, with price hikes over and above the rate of inflation.
Prices vary depending on the water company, although for most of us, the combined bill for water and sewerage currently costs about £1 a day. Let's take a look at some of the new pricing proposals:
Thames Water -- the UK’s largest water company -- supplies 13 million people across London and the Thames Valley. The company wants to increase water bills by more than 3% above inflation for each of the five years. In 2014/15 the average bill will be £329 for water and sewerage, which is £46 higher than the proposed 2009/10 prices.
Meanwhile the second largest water company, Severn Trent, wants to increase prices by slightly more than inflation throughout the five-year period.
But it's not all bad news. People living in Wales should do better with Welsh Water planning no real increase in average household bills after 2010, although prices will rise in line with inflation.
Why are water bills set to rise?
For Thames Water it’s to cover the cost of a planned £6.5 billion investment over the five years to sustain service levels, reduce leakage and supply an extra 380,000 people who are expected to arrive in the region. More generally, the water industry as a whole faces increased operating costs following significant hikes in energy prices. On top of that, investment in new infrastructure and improving environmental quality will force your bills up.
But how can you keep your water bills down?
Eight ways to cut your water bill:
1. Have a water meter installed
To save money on your water bill you will need to have a water meter fitted first. A non-metered supply is subject to fixed costs regardless of how much -- or indeed, how little -- water you use. By fitting a water meter you will only pay for the water you actually use, which means you will probably be more conscious of the amount of water you’re getting through, helping to keep your bill down too.
Many people find they are better off with a water meter. What’s more, the meter should be installed free of charge and if you change your mind, you can go back to a non-metered supply (as long as you do so within the period specified by the water company. Typically this could be 12 or 18 months).
2. Fix leaks
Dripping taps and leaking pipes and appliances really are money down the drain. You would be amazed how much water is wasted just by letting a tap drip all day long.
3. Energy-efficient white goods
Don’t run your washing machine or dishwasher half full. When you need to buy new white goods go for energy-efficient appliances that use the least amount of water. If you’re not sure, check with the manufacturer before you buy.
4. Don’t run taps when you don’t need to
Don’t leave the tap running constantly while you’re brushing your teeth or shaving. Turn the tap off so you only use what you need. Not doing so could waste ten litres of water alone. And the same goes for washing-up. Use a bowl of water rather than running the tap.
5. Use a water hippo
Older style water cisterns -- those installed before 1993 -- use around 9 to 12 litres for flushing. Put in an easy to fit water hippo -- or other similar device -- and instantly reduce the amount of water you use.
6. Take a shower instead of a bath
A quick shower should use far less water than a bath. But be careful if you have a power shower because it can use more water in five minutes than it takes to fill your bath.
7. Use a sponge to wash your car
Using a hosepipe could easily waste around 90 litres of water in just ten minutes. Using a bucket and sponge to wash your car is far more water-efficient.
8. Keep cool drinking water in the fridge
Rather than running the tap to get it cold.
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