In a first for the water industry, Northumbrian Water Group (NWG), including both Northumbrian Water and Essex & Suffolk Water, has committed to eradicating water poverty across its supply areas by 2030.

The industry-leading commitment to lift 400,000 customers from water poverty was launched at a parliamentary reception attended by MPs and key figures from the water industry on Tuesday 22 May. The event also saw the launch of an innovative new research and delivery partnership with national fuel poverty charity National Energy Action (NEA).

Heidi Mottram, Chief Executive, Northumbrian Water Group, commented:

"This is not a static, one-shot attempt at improving comparative affordability of our services. It is a first of its kind, long-term commitment; an adaptive and unique effort to eradicate water poverty."

The new partnership with NEA will see NWG fund a new Water Poverty Unit, to take on the challenge of bringing affordable water and affordable warmth to all vulnerable and low-income householders. The partnership is focused on both research and delivery - with guaranteed three-year funding that will also see the launch of ‘on the ground′ programmes.

This is a multi-year commitment that will not only help to understand what opportunities there are to help the most vulnerable customers, but also offer opportunities for the wider water and utilities sector, to take on the challenges set by industry regulators Ofwat and Ofgem.

Adam Scorer, Chief Executive, NEA, said:

‘′This is a tremendously exciting project. We are delighted to use our 35 years′ experience tackling fuel poverty to help better understand and tackle water poverty. People who struggle to afford a warm and dry home will struggle to afford other essential services, such as water. Understanding what works and how it can be applied in energy and water should bring benefits to both sectors and we look forward to working with NWG, and other water stakeholders, to help make it happen.′′

Northumbrian Water provides water and sewerage services to 2.7 million people in the North East of England, including the major population centres of Tyneside, Wearside and Teesside area and large rural areas in Northumberland and County Durham

Essex & Suffolk Water provides water services to two separate supply areas, a population of 1.5 million in its Essex area and a population of 0.3 million in its Suffolk area.

Water poverty refers to people who spend more than 3% of their income in their water bill, after housing costs.

New approach will focus on all causes of water poverty

Industry regulator Ofwat estimates that as few as 10% of customers who are struggling with their bill currently receive help from their water company via a social tariff. This is a genuine concern as there are a wide range of schemes available for those who need help paying their water bills.

In response to this NWG is launching a completely new approach which will focus on all causes of water poverty, rather than limit the response to only introducing new tariffs. The approach was co-created with NWG′s own customers, who through large-scale customer engagement activities made clear how important it was to them that services are available to everyone and, as a central concern, affordable for all.

The support will see 300,000 NWG customers lifted from water poverty by 2025 and 400,000 by 2030 - eradicating Water Poverty in the communities NWG serves.

NWG'S holistic solution includes -

• Education on the benefits of metering and water efficiency
• Working with partners to offer free financial advice classes
• Building people′s knowledge of financial management, through training, volunteering and team activities
• Supporting community groups as part of NWG’s Just an Hour employee volunteering programme
• Deploying NWG volunteers in local communities allowing them to better understand customers specific circumstances and build relationships

In addition NWG has launched a brand new social tariff for customers who are genuinely struggling to pay their water and wastewater bills. The company′s wider engagement with its customers has shown that they supported a cross-subsidy to expand its social tariff, which now allows it to offer 50% discounts for those who need it most. The scheme has already seen strong take up in its first few months.

Northumbrian Water provides water and sewerage services to 2.7 million people in the North East of England, including the major population centres of Tyneside, Wearside and Teesside area and large rural areas in Northumberland and County Durham

Essex & Suffolk Water provides water services to two separate supply areas, a population of 1.5 million in its Essex area and a population of 0.3 million in its Suffolk area.