CCW responds to NAO report on rising customer debt

Customer debt to water and energy companies has climbed to more than £7 billion while millions of households continue to miss out on financial support, according to a new report by the National Audit Office (NAO).

The report says regulators Ofwat, Ofgem and Ofcom must do even more to strengthen support for customers in vulnerable circumstances, as well as increasing awareness of existing help and tackling the drivers of debt.

Responding to the NAO’s findings and recommendations, CCW Chief Executive Mike Keil said:

Over the past year CCW has seen complaints from water customers about debt more than double in the face of rising water bills and wider cost-of-living pressures. Water companies have increased support for those struggling to pay but, as the NAO report highlights, help is not keeping pace with the needs of consumers.

A stronger safety net of financial support is needed to prevent more households falling into water debt. Our independent review of water affordability back in 2021 made clear that a universal single social tariff would ensure financial support flows to where it is needed most. The postcode lottery of financial assistance created by existing water company social tariffs is unfair and unsustainable.