Renowned financial expert Martin Lewis recently issued a crucial warning to individuals earning under £23,000, shedding light on practical ways to reduce water bill expenses as the UK braces for an impending increase in water costs. Lewis emphasized the significance of two key schemes, the social water tariff and Watersure, as effective tools in alleviating financial strain for those on low incomes or receiving universal credit.
Unlocking Savings Through Social Tariffs
The social water tariff, available through all water companies, presents a valuable opportunity for eligible households to potentially slash their bills by up to 90% by either reducing or capping charges related to water usage or meter fees. Lewis underscored that nearly two million households are unknowingly missing out on these substantial savings, urging individuals with family incomes below £22-23,000 or those on Universal Credit to proactively reach out to their water provider for more information on accessing this beneficial scheme.
Maximizing Benefits with Watersure
In addition to the social water tariff, Lewis highlighted the lesser-known Watersure scheme, offering an estimated annual value of £160 to qualifying participants. To be eligible for Watersure, individuals must have a water meter installed, receive certain benefits, and either have three or more children or a medical condition like Crohn’s or eczema that necessitates increased water usage. By potentially capping water bills, Watersure complements the benefits of the social tariff, providing a comprehensive approach to managing water expenses for vulnerable households.
Lewis emphasized the importance of understanding individual circumstances when determining the most cost-effective billing method, particularly in England and Wales where metered billing differs from Scotland and Northern Ireland. He emphasized the significance of evaluating the ratio of bedrooms to occupants in a property to ascertain whether a water meter may offer cost savings compared to a standard bill based on property value. By illustrating the potential financial benefits of switching to a water meter, Lewis encouraged consumers to utilize tools like the Consumer Council for Water’s calculator to make informed decisions about their billing options.
Lewis shared a compelling anecdote of Ursula, who significantly reduced her monthly water bill from £60 to £16 by switching to a water meter in her three-bedroom home occupied by two individuals, translating to annual savings of £500. Addressing common concerns about water meter eligibility, Lewis highlighted the option of requesting an assessed charge for properties with shared pipes or other logistical constraints, ensuring that all individuals have access to cost-effective billing solutions.
By demystifying the complexities of water billing and offering practical tips for maximizing savings, Lewis’s expert advice serves as a valuable resource for individuals navigating financial challenges. As households prepare for the upcoming rise in water costs, Lewis’s proactive approach to managing expenses underscores the importance of exploring available schemes and making informed decisions to safeguard financial well-being.
