Effective money management is critical to the success of any business, and as a business owner, you know how important it is to run a cost-effective operation. However, there are many instances where your business may be paying more than it should for a particular service, including essential utilities such as water.

In fact, recently there were reports that water companies were failing their customers, resulting in water loss through leakages and even instances of major pollution. This not only affects the quality of the service but also wastes valuable money. To help you reduce water costs for your business, this article will provide you with some practical tips on how to manage water expenses effectively.

So, how can you more affordably cover the water payments your firm deals with? Let’s explore your options in detail below.

Assess Your Current Water Bills and Supplier before Making a Switch

Before you decide to switch suppliers, it's important to know your current water usage, bills, and supplier. Taking the time to understand your water consumption and costs can help you make more informed decisions, and potentially even negotiate better deals with your existing supplier.

Start by looking at your water bills and gathering all the data around usage and costs. Review annual figures and analyse the information around charges and payment methods used. If you have a service supply point identification number (SPID), make sure you have that information at hand. Additionally, make sure that you have a water meter installed, as this can help you monitor your water usage and identify any areas where you may be able to reduce usage.  Such technologies are rolling out all over the UK currently.

Once you have a good understanding of your water usage and costs, reach out to your current supplier to see if there might be any room for negotiation or cost reductions. They may be willing to make some contractual amendments that work in your favour, such as offering lower tariffs or reduced rates for bulk usage. Even if it feels like a shot in the dark, there's no harm in asking, and the worst they can do is say no, which will still give you clarity on your options.

By assessing your current water bills and supplier before making a switch, you'll be able to proceed with a more strategic and informed mindset and potentially reduce your business water costs without having to go through the hassle of switching suppliers.

Consider Switching Suppliers

If your current water supplier is not able to offer you a better deal, it may be time to explore other options. However, switching suppliers can be a complex process, so it's essential to approach it carefully to ensure that you get the best deal for your business.

Start by comparing business water rates from different suppliers. A good option is to use a reputable comparison service such as The Business Water Shop which works with a network of trusted suppliers to offer the most competitive prices available. The service can help you to identify the best deal for your specific requirements, ensuring that you get the most value for your money. Some customers have reported being able to switch suppliers in just 5-10 minutes with the help of this service, making it a fast and efficient option.

It's worth noting that it was not always possible to change water suppliers, but recent changes in legislation have made it easier for businesses to switch. As a result, businesses now have the opportunity to access better deals and take advantage of the competitive water market. Taking advantage of this privilege can help you to save money on your water bills and reduce your overall operating costs.

Consolidate Your Water Supply

If you've already switched water suppliers and found a service with better rates and accurate billing measures, it's time to take the next step and consolidate your water supply. Consolidating your water supply means bringing together all of your business premises under one supplier, which can result in significant cost savings. Some businesses have reported saving as much as 10% on their water bills by consolidating their supply.

Consolidating your water supply is particularly important if you have multiple branches or offshoots of your business. By bringing them all under one supplier, you can simplify the management of your water supply and avoid spending unnecessary time juggling different suppliers. As the old business saying goes, time is money, and managing multiple suppliers can detract your focus from other aspects of business operations.

In addition to cost savings, consolidating your water supply can also provide more transparency and simplify your billing process. With one supplier managing all of your water usage, you'll have a clearer understanding of your water consumption and billing.

While consolidating your water supply may not appear responsible in all of your auditing figures, it can be an indirect cause of unnecessary losses for your business. By consolidating your water supply, you can free up valuable time and resources to focus on other aspects of your business and potentially improve your overall profitability.  It's another way to save your business money.

Submit a Complaint if Necessary

If you're running a home business,, you may not have the option to change your water supplier like you would with a commercial property. However, there are still steps you can take to ensure that you're not overpaying for your water services and to lodge a complaint if you believe you are being overcharged or not treated fairly.  Know that you can go through multiple channels here to ensure that you have your say.

Firstly, your water company should have a complaints procedure and if they don't follow it, they may owe you compensation.  The Citizen's Advice website states "Each water company has a complaints procedure which is usually in two stages. If you write to the company, you should receive a reply within ten working days. If the company doesn’t reply in this time, they must pay £20 as compensation within ten working days. If they don’t pay the compensation in time, you can ask for a further payment of £10, as long as you do this within three months."

One option is to file a complaint with the Water Redress Scheme (WATRS) if you believe that you deserve compensation from your supplier. You can send evidence of any wrongdoing to their independent mediators, who will then review your case and make a fair and prompt decision.

Another option is to contact the Water Services Regulation Authority, or OFWAT, if you feel that the cost of a connection was excessively high or if your water company refuses to install a meter. OFWAT can handle complaints and ensure that your rights as a customer are being upheld.

It's essential to address any issues with your water supplier instead of ignoring them and overpaying. Even if you're overpaying by a small amount, it's still too much, and taking action can help you to save money in the long run. Remember that you don't need to take on the water company alone; independent officials can review your case and make a fair and unbiased decision. So, take the necessary steps to ensure that your rights as a customer are being respected, and don't be afraid to submit a complaint if necessary.

Check for Nearby Works and Know Your Rights

Water companies and other entities can sometimes disrupt your water supply during infrastructure repairs or maintenance work. In some cases, this can lead to increased costs for your business.

To avoid these situations, regional water services may offer features that allow you to check if there is work underway in your area. You are entitled to compensation if repairs or maintenance work is underway that affects your water supply and causes disruptions to your business, home-based or commercial. Checking for nearby works can help you to prepare for these situations and have a rough idea of what to expect.

There are certain rules that water companies must abide by when carrying out repairs or maintenance work, such as:

• Providing you with 48 hours' written notice if water supply interruptions are expected to last for more than 4 hours.
• Restoring the supply of water on the schedule provided in the notice.
• Informing you where to find alternative water supplies until the issue is resolved.

If you weren't given reasonable notice, you may be entitled to £20 worth of compensation. The same applies if the supply is not restored as per the schedule in the notice. If the restoration is 24 hours later than it should be, you are owed £20, with an additional £10 for each subsequent day the supply remains down.

If you don't receive compensation within 20 working days, an additional £20 is added. While these figures may seem small, they can still help if you are running an SME and in a vulnerable position.

It's important to note that compensation rules and the amount of compensation can vary depending on the water company and the situation. Therefore, it's essential to know your rights as a customer and to check the specific compensation policy of your water company.

Water storage

Another way to save on water costs is by utilising rainwater harvesting techniques, such as storing water in water butts. This is especially useful for businesses that require large amounts of water for non-potable uses such as irrigation, cleaning, or flushing toilets.  Eco efficient home design or business premises design can come into play here.

A water butt is a container that can hold rainwater collected from rooftops, gutter systems, or other collection points. The collected water can then be used for a variety of purposes, reducing the need for municipal water and lowering water bills. Water butts are relatively easy to install and maintain, and can be found in a variety of sizes and styles to suit the needs of your business.

In addition to water butts, there are other methods of storing water that can be used for businesses with larger water requirements. These include underground water tanks or above-ground storage tanks, which can hold much larger volumes of water for a variety of uses.

Overall, storing water is an effective way to reduce water costs and conserve municipal water resources, which can benefit both your business and the environment.

Utilise Rainwater Harvesting Techniques

Another effective way to save on water costs is to utilise rainwater harvesting techniques, such as storing water in water butts. This is especially useful for businesses that require large amounts of water for non-potable uses, such as irrigation, cleaning, or flushing toilets. It is also a great way to promote eco-efficient business practices.

A water butt is a container that can hold rainwater collected from rooftops, gutter systems, or other collection points. The collected water can then be used for a variety of purposes, reducing the need for municipal water and lowering water bills. Water butts are relatively easy to install and maintain, and come in a variety of sizes and styles to suit the needs of your business.

In addition to water butts, there are other methods of storing water that can be used for businesses with larger water requirements. These include underground water tanks or above-ground storage tanks, which can hold much larger volumes of water for a variety of uses.

Monitor and Reduce Water Usage

Monitoring and reducing your business's water usage is a simple yet effective way to save money on water bills. Installing water-efficient appliances, such as low-flow toilets and taps, can help to reduce the amount of water used in your business. Encouraging your employees to adopt water-saving habits, such as turning off taps when not in use, can also make a significant difference.  Check if tankless water heaters could save money.

You should also ensure you are monitoring and maintaining all equipment such as boilers and water heaters, along with regularly checking pipes to ensure there are no leaks or faults that could be wasting water.

Conduct a Water Audit

Conducting a water audit can help you to identify areas where you can save water and reduce costs. A water audit involves examining all aspects of your business's water usage, including water bills, meter readings, and water-consuming appliances. This can help you to identify any leaks, wasteful practices, or inefficiencies that may be contributing to high water bills.

Implement a Water Management Plan

Implementing a water management plan can help you to reduce your business's water consumption and save money on water bills. A water management plan involves setting goals for water usage and implementing strategies to achieve those goals, such as installing water-efficient appliances, conducting regular maintenance checks, and monitoring water usage.

Conclusion

You can do many things to reduce the water costs your business incurs. Get your facts straight, consider changing suppliers, and know that you can utilise other entities and resources to make these arrangements more financially stable for your business. Hopefully, you don’t feel powerless in these situations and know you have options, whether you have commercial premises or a home business to look after!

Here is a summary of the tips for reducing water costs for your business:

1. Assess your current water bills and supplier before making a switch.
2. Consider switching suppliers if your current supplier is not able to offer you a better deal.
3. Consolidate your water supply to bring all your business premises under one supplier.
4. Submit a complaint if necessary and know your rights.
5. Check for nearby works and know your rights.
6. Utilize rainwater harvesting techniques to reduce the need for municipal water and lower water bills.
7. Monitor and reduce water usage by installing water-efficient appliances and encouraging employees to adopt water-saving habits.
8. Conduct a water audit to identify areas where you can save water and reduce costs.
9. Implement a water management plan to set goals for water usage and implement strategies to achieve those goals.

By following these tips, your business can reduce water costs, save money, and promote eco-efficient practices.