Renowned financial expert Martin Lewis has shared practical advice for households across England and Wales to avoid a predicted £123 rise in water bills by 2025/26. With water prices set to increase due to Consumer Prices Index (CPI) inflation, Lewis suggests that switching to a water meter could save you hundreds of pounds. Here’s a breakdown of his tips and why they matter.
Why Are Water Bills Increasing?
Water companies have announced that customers should expect higher bills by 2025/26, with the increase tied to CPI inflation. For many households, the projected rise of £123 may further strain their budgets. However, Martin Lewis emphasizes that there are ways to minimize the impact of this increase.
How Are Water Bills Calculated?
Water bills in England and Wales are typically calculated in two ways:
- Rateable Value System:
- Households without a water meter are charged based on the value of their property (the larger the property, the higher the bill).
- Metered System:
- Households with a water meter are charged based on their actual water usage.
The key takeaway from Lewis’s advice is that if you live in a property with more bedrooms than people, the metered system could be significantly cheaper.
Who Should Consider a Water Meter?
According to Martin Lewis, if you have more or the same number of bedrooms in your home compared to the number of people living there, you might benefit from a water meter. For example:
- Three bedrooms, two people living in the house: A water meter is likely a better option.
- One or two people living in a large home: You’re probably overpaying under the rateable value system.
Lewis explains, “Water bills are based on the size of your house under the rateable system, but a water meter only charges you for what you use. Fewer people generally means less water usage, which translates to lower bills.”
How Much Can You Save?
Martin Lewis’s website, MoneySavingExpert (MSE), estimates that households switching to a water meter could save hundreds of pounds per year. The potential savings depend on your household size, water usage, and the rateable value of your property.
If you live in England or Wales, you can request a free water meter installation from your water company. Many providers allow you to try the meter for a trial period of around 12 months. If you find that the meter isn’t helping you save money, you can switch back to the rateable value system.
How to Get a Free Water Meter
Follow these steps to switch to a water meter and start saving:
- Check Your Water Company’s Website:
- Most water providers in England and Wales offer free meter installations.
- Apply for a Water Meter:
- You can usually fill out an application online or request one by phone.
- Trial Period:
- Use the trial period (often 12 months) to monitor your bills and water usage.
- Switch Back If Needed:
- If you’re not saving money, you can return to the rateable value system within the trial period.
Additional Water-Saving Tips
Even with a water meter, you can further reduce your bills by conserving water:
- Install water-saving devices: Request free water-saving kits from your provider.
- Fix leaks: A dripping tap or leaking pipe can waste large amounts of water.
- Be mindful of usage: Shorter showers and turning off taps while brushing your teeth can save water.
With water bills on the rise, taking action now can help avoid paying more than necessary. Martin Lewis’s advice to consider a water meter, especially for households with more bedrooms than people, could save you hundreds of pounds. Take advantage of free meter installations and trial periods to find out what works best for your household. By making a few changes, you can significantly cut down on your water costs and keep your finances in check.
SOURCE: LINK
FAQ
What is Martin Lewis’ advice on water bills?
Martin Lewis advises households, particularly those with more bedrooms than occupants, to consider installing a water meter. This allows you to pay based on your actual water usage rather than a fixed rate. Many families have reported significant savings after making this switch.
How can I save on energy bills according to Martin Lewis?
To save on energy bills, Martin Lewis recommends regularly checking your energy account if you pay by direct debit. Make sure you are not overpaying and reclaim any excess credit. Also, shop around for better tariffs and avoid staying on the standard variable rate.
What is the issue with standing charges on energy bills?
Martin Lewis has raised concerns about standing charges, which are fixed daily fees added to energy bills regardless of usage. He suggests that energy providers should offer tariffs with zero standing charges, especially to benefit low-usage households.
