Utility Week

26 | AUGUST 2021 | UTILITY WEEK Customers Talking Points… Billpayers must not struggle in silence F uel poverty is, rightly, a live issue for politicians as they debate the most equitable way to fund the net-zero journey without overloading billpayers. It is understandable in this context, but still concerning, that the issue of water poverty is nowhere near as prominent in the national debate. Of course, water bills remain far cheaper than their energy equivalents and there is no danger of customers being discon- nected. But it is shortsighted to overlook the trend in water poverty, which is to some extent the canary in the poverty coal mine. If customers are struggling with water bills, then almost inevitably they will be feeling the pressure on other household debts. Research by Ofwat last month showed how precarious the situation is. Its survey of just over 2,000 billpayers across England and Wales showed that 34 per cent of respondents had found their ƒ nancial situa- tion worsen over the past year with a quarter expecting the situation to deteriorate further over the next 12 months. It is encouraging that only 6 per cent of these said they had fallen behind on their utilities bills as a result of their money worries. How- ever, for those who had sought to mitigate their ƒ nancial problems, for example by using credit cards or borrowing money, 78 per cent had fallen behind to some extent with their water or energy bills. Ofwat's research also showed that, despite the plethora of support options available from utilities, few customers are aware of them. Only 4 per cent of those households on the lowest incomes (under £20,000) said they had sought help with their water bills, with 6 per cent for energy. The Financial Conduct Authority (FCA) has found a similar reluc- tance or ignorance around debt support measures. Between March and October last year, 1.7 million people accessed debt advice compared to the 8.5 million the FCA estimates may be in need of help. Utilities have been proactive, both before and during the pandemic, in bolstering support options for customers and trying to promote them. It is frustrating to see that the message simply isn't getting through. There is a clear need for joined-up action across all providers of debt support. A ƒ rst step would be the long-called-for shared priority services register but this must go further. The vaccine rollout has shown the power of harnessing local knowledge and expertise to spread informa- tion quickly and e– ectively. This is now a golden opportunity to harness this trust and connection to ensure the message about support options from utilities and other bodies is widely understood. The ƒ nancial impact of the pandemic will overshadow us for some time, so it is vital we learn from the lessons Covid has provided. James Wallin, editor Comment: Fuel poverty gets widespread recognition as a problem affecting the poorest households in the UK, but water poverty is a societal scourge that garners few headlines. Almost 3 million switches completed so far in 2021 June saw a 5 per cent dip in the number of energy supplier switches compared with the same month last year, latest gures have revealed. Electralink's monthly switching statistics showed that in the rst six months of 2021 just shy of 3 million changes of electricity sup- plier (CoS) were completed. Last year saw a total of 6.2 million CoS events – just 2.3 per cent down from a record 6.3 million in 2019. The gure of 2,996,000 switches com- pleted to June was 75,000 (3 per cent) more than in the rst half of 2020, which was dogged by the rst wave of the pandemic. June's gure of 436,000 switches was 34,000 less than the previous year and the lowest that has been reported for the month since 2017. "There is a clear need for joined-up action across all providers of debt support." The news in numbers: 38% of Asian billpayers feel their nances have worsened over the past year, compared to 26% of British/Irish customers, according to CCW's Water Matters report. £5bn Estimated lifetime bene t for the 2 million prepayment meter customers currently not on a smart meter, if they upgraded, according to the NEA. 16% Of customers experienced problems with a utility company's customer service, according to the latest UKCSI research – the highest level since 2010. 58% Of respondents to an Ofgem survey in March thought they were using more energy than normal for this time of year. 87% Of the public is now aware of the term "net zero", according to the latest BEIS research.

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