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Monday 25 February 2008

Families pay price for rising water bills

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Families with more than two children will have to pay over £100 more for their water if the government presses ahead with its threat to introduce compulsory metering.

The Consumer Council for water (CCW) warned earlier this month that larger families will be hit by more expensive water rates if meters are imposed, as planned. Most households pay water bills based on a ratable charge that is determined by the value of the property.

This averages £278 a year, according to Thames Water. If water meters are imposed, a third of homes in the UK could see bills rise by up to 40% about £117 a year.

A spokesman for the CCW said: “The meters will charge people based on their usage, so larger families will be penalized under the new system.”

Homeowners that been warned that water meters will charge people based on their usage, so larger families will be penalized under the new system.”

Homeowners have been warned that water meters could be compulsory within 20 years Environment secretary Hilary Benn called for “near universal metering” by 2030 in areas most affected by drought such as the south of England. It is part of a wide-ranging water strategy. That aims to reduce use from 150 to 120 litres per person per day.

Even though they are unmetered, thousands of families with larger homes in the southeast and London are already being warned to prepare for big hikes in their water bills.

The bills of more than 36,000 families in the Thames Water region are worked out on the basis of an “assessed household charge”, which divides rates into three categories – one, two and three or more bedrooms.

From April, Thames Water will be increasing the charge for about 11,500 homes of three bedrooms or more from between £245 to £266 a year. Smaller homes, though will benefit.

An estimated 24,000 one or two-bedroom homes will see their bills drop from £245 to either £200 or £218. Consumer groups have warned that more people will see their bills rise as more meters are imposed.