Water companies must get tough on late-paying consumers, say Lords

12 January 2007

A Lord's committee has accused the government and water suppliers of not getting tough enough on late-payers and water bill dodgers and is campaigning for companies to have the right to cut-off consumers if they do not pay on time, according to environmental website edie.net.

The Science and Technology Committee believes that by following the example set in Australia, the threat of cutting the public off from their water supply could provide a "powerful incentive for consumers who are able, but refuse to pay their water bills".

Currently the Australian water board limit the amount of water delivered to fee-avoiding customers so that they only receive the minimum amount until they start to pay again.

Lord Selborne, chairman of sub-committee that dealt with water management, said: "We are disappointed that the government has failed to take on board so many of our recommendations.

"[It] has completely failed to grasp the importance of dealing with the high levels of non-payment of water bills as well providing greater help for those in genuine financial difficulties. [[The government] must reconsider giving water companies the ability to partially disconnect persistent non-payers."

Water watchdog Ofwat was praised by Lord Selborne for promising to review the methodology determining water company leakage targets, but he criticised its decision to not encourage greater research and development in the water industry.

"If we are to make significant headway in improving water efficiency and reducing the unacceptable level of leaks then Ofwat, as the regulator, should be taking the lead in a transparent and constructive fashion," he added.

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