The government is keen to develop a customer-focused industry, with competitive pressure for business customers and close scrutiny from customer panels to benefit domestic customers. What kind of customer are you? How would you like to see the industry develop?
The government is leaving responsibility for social tariffs to water companies. Is that the best way to help vulnerable customers? What is the best way to keep water affordable to all?
Green Party leader and MP Caroline Lucas accused the government of “limp leadership” on demand reduction. What else could or should be done to promote water efficiency?
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Here’s what Gavin Shuker MP, Shadow Minister for Water and Waste, had to say about water affordability in advance of our discussion:
“Tackling water poverty is something that we all need to consider very seriously. The growing scarcity of water, along with the sky rocketing cost of living is putting more and more strain on household budgets.
“It’s not just those on the very lowest incomes who are affected either. The lesson of the financial downturn is that those on moderate incomes, the so-called ‘squeezed middle’ are facing serious affordability problems too.
“Although the recently published Water White paper recognises that a majority-metered society is inevitable, it’s pretty silent on the consequences. We recognise for some families, this will add to their financial burden. Metering is a good way of tackling scarcity, and it’s rapidly becoming the norm. So government will need to do further work to make sure water poverty doesn’t increase as a result. There’s little sign of any deep thinking on this from DEFRA.
“I want to ensure that we don’t force the most vulnerable, like working families or pensioners, into a position where they are struggling to pay their bills.
“That’s why, now more than ever its important that we have the right measures in place to tackle water poverty.
“The current ‘WaterSure’ scheme is an important first measure to tackling water poverty. The scheme provides subsidies to families with three or more children, and individuals with medical conditions that demand a high level of water use. But all of us must accept that take up – the number of people actually accessing these social tariffs, is painfully low. And although, the Water White Paper does propose some enhancements, the responsibility of providing and managing these subsidies remains with the water companies. I think that’s not good enough.
“With the growing demand for assistance, I think we need a better approach to affordability. That’s why I will be looking into the feasibility of a national scheme made available to those most in need. This government is keen on helping affordability problems in the South West. It now must be ambitious in tacking affordability for the lowest income consumers as well.
“At very least, government should respond favourably to industry and consumer calls for national standards – so that the same groups get access to an expanded WaterSure scheme, in each region.
“On top of social tariffs, it’s important to increase competition within the market to naturally drive down water prices. Allowing business customers to switch will drive improvements for all customers. But perhaps most importantly, we need to educate people about how precious and scarce our water is. I simply don’t think people realise that the availability of water is an increasingly significant problem in large areas of the UK.
“We also need a proper national campaign to let people know about the things they can do in their own home that to save water. Simple actions such as installing a water efficient shower head, or turning off a running tap while brushing your teeth can make huge differences, and make water bills lower.
“I think there are some great opportunities here for Government and local authorities to get involved. Education is one of the most efficient and affordable ways to tackle scarcity.
“This DEFRA team is happy to make water affordability someone else’s problem. That’s why I’ll do everything in the coming year to ensure that government don’t abdicate their responsibility as legislation goes through.”