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Price of water - How your water rates are calculated

If you want to know more about the price of water and how your bill is calculated, this guide will reveal all.

Water rates differ depending on where you live and you are charged in two different ways. Find out what makes up your water bill and how water rates work.

Most recent change:

In April 2012 the average household water and sewage bill went up £20, although the exact amount will vary depending on the factors listed below.

How do water rates work?

In England and Wales there are regional differences in domestic water rates. Your domestic water rate will depend on the availability of water in your region and the size of your region.

The majority of people are charged a yearly water rate which covers the domestic water supply and associated costs such as maintaining water quality. Some people have a water meter instead, which is a cheaper alternative in some cases.

How do water companies work out my water rates?

Water companies calculate your domestic water bills in one of two ways:

  1. Unmeasured you pay a set amount for your domestic water and sewerage service, regardless of how much you use. This is based on the rateable value (RV) of your home
  2. Measured your domestic water readings are taken from a meter and you pay for the units of water you use.

What's the difference between water and sewerage charges?

There are two parts to your water bill:

  1. Water charges are for the fresh water that comes out of your taps.
  2. Sewerage charges are for the water you use that goes back into the system as waste to be treated - assumed to be about 95%. This is also known as foul or grey water.

The sewerage charge includes any water that runs from your property into public sewers.

What's the difference between water and sewerage charges?

There are two parts to your water bill:

  1. Water charges are for the fresh water that comes out of your taps.
  2. Sewerage charges are for the water you use that goes back into the system as waste to be treated - assumed to be about 95%. This is also known as foul or grey water.
  3. The sewerage charge includes any water that runs from your property into public sewers.

How can I get a surface water drainage rebate?

Almost everybody pays for surface water drainage as part of the sewerage element of their domestic water bill.

If you can prove that no water from your property drains into a public sewer - if you have a soakaway for example - you may be able to apply for a refund of your most recent charges. For further information, please contact your domestic water supplier.

How can I limit how much I spend on water?

There are a range of water-efficiency products that can help you. These include:

  • A water meter calculates your household water use - some people can save money by switching to a water meter. Find out more about water meters.
  • A water displacement device, also known as a hippo or save-a-flush, goes in your toilet cistern and reduces the water used each time you flush. Most water suppliers will provide them free.
  • A shower timer can encourage you to spend a bit less time in the shower which will reduce your water use.
  • A water butt collects rainwater for you to use on the garden and in your appliances, reducing your mains water use.

A new energy-efficient boiler could save you £516 a year.

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