Customers applying for help under the Vulnerable Groups' Regulations: 2003-04 and 2004-05
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Customers applying for help under the Vulnerable Groups' Regulations – 2003-04 and 2004-05


Background

Certain metered household customers are protected from paying large bills under Government Regulations(1) which were introduced on 1 April 2000. The Government has recently amended these Regulations(2) to extend eligibility for assistance. The Regulations were drawn up to help people who might otherwise worry about turning on their taps – possibly compromising their health and the health of others – because of concerns about affording their bill.

Eligible customers pay no more than the average household bill for their region even if they use more than the average amount of water.

The Regulations apply to all appointed water companies operating wholly or mainly in England. However, the two Welsh companies, Dŵr Cymru and Dee Valley Water, also offer the same assistance on a voluntary basis.

In order to qualify for assistance, the customer or someone resident in their household, will need to be in receipt of one of the following benefits:
  • Council Tax Benefit;
  • Housing Benefit;
  • Income Support;
  • Income-based Jobseeker's Allowance;
  • Working Tax Credit;
  • Child Tax Credit (except families in receipt of the family element only); or
  • Pension Credit.

In addition, they will need to either:
  • be responsible for three or more children under the age of 19 and in full-time education living in the property; or
  • have (or someone living in the property must have) a medical condition which requires significant additional use of water.

The medical conditions listed in the Regulations as qualifying conditions are:
  • desquamation (flaky skin disease);
  • weeping skin disease;
  • incontinence;
  • abdominal stoma;
  • Crohn's disease;
  • ulcerative colitis; or
  • renal failure requiring dialysis at home (where there is no contribution by the local health authority to the cost of the water used).

Additionally, a customer who is in receipt of qualifying benefits may qualify for help where a doctor certifies that the customer or someone living in the property needs to use a significant amount of additional water due to another kind of medical condition.

The assistance is not available to metered customers who have high discretionary use of water such as the use of garden sprinklers or swimming pools, or to business customers.

Number of households registered for the Vulnerable Groups tariff

Each year we collect information from companies on the number of households applying for, and successfully receiving assistance offered under the Regulations. The table below sets out the numbers for 2003-04 and 2004-05.

The table shows both the number of applications received by each company, and the number of applications which were successful. Reasons for an application not being successful reported by the companies include:
  • the customer's property does not have a water meter;
  • the customer is not in receipt of qualifying benefits;
  • the assistance would not result in reduced charges for the customer; and
  • incomplete or withdrawn applications.

In England and Wales the number of households receiving help has risen by more than 20% in the past year. Some companies have noted that this is due to an increase in the awareness of the assistance (through increased promotion), while others attribute the rise to an increase in metered households.

A small number of companies reported a reduction in the number of successful applications. This may be due to some customers no longer being eligible, customers moving out of the company's area or due to fewer customers applying.

The Government made changes to the Regulations with effect from 1 April 2005 which extended the qualifying criteria(3). Because of this, more customers are likely to be eligible for assistance in future.

Best practice and future promotion

We encourage companies to ensure that all customers who could benefit are aware of the assistance and to publicise the scheme on their bills or billing literature.

Examples of good practice undertaken by companies include:
  • provision of a specific freephone helpline;
  • wide publication, for example, on billing leaflets, website, distribution of leaflets to consumer organisations such as Citizens' Advice and Help the Aged;
  • ensuring that community workers such as district nurses are fully aware of the scheme and can pass information to their clients;
  • more straightforward application forms, including a flow diagram for customers to follow to see if they are eligible for assistance;
  • improved staff training; and
  • proactively writing to metered customers who use large amounts of water and who are on the Third Party Deductions Scheme(4) to notify them of the assistance.

Any household customer who thinks that they may be eligible for help should contact their local water company for further details and an application form.


Service and Performance Team
January 2006



(1) The Water Industry (Charges) (Vulnerable Groups) Regulations 1999 SI 1999/3441, amended by SI2000/519, 2003/552.
(2) 2005/59.
(3) Changes reflected in text above.
(4) Customers who are in arrears and in receipt of either Income Support, Income-based Job Seeker's Allowance or Pension Credit can have payment taken directly from their benefit for their water and sewerage charges.


Number of households applying for help under the Vulnerable Groups Regulations – 2003-04 and 2004-05

Total number of applications
Total number of successful applications
2003-04
2004-05
2003-04
2004-05
Anglian
1,293
1,311
843
682
Dwr Cymru
374
417
245
319
Northumbrian (inc. Essex & Suffolk)
439
569
378
483
Severn Trent
771
1,072
651
916
South West
1,446
1,647
1,440
1,645
Southern
278
262
271
258
Thames
1,302
1,655
1,097
1,323
United Utilities
1,439
1,489
1,031
1,114
Wessex
178
519
294
481
Yorkshire
829
1,131
768
1,059
Bournemouth & W Hampshire
69
87
69
73
Bristol
120
118
99
93
Cambridge
77
89
74
81
Dee Valley
5
10
5
10
Folkestone & Dover
32
28
11
12
Mid Kent
86
171
83
138
Portsmouth
14
25
13
24
South East Water
85
105
78
91
South Staffordshire
37
39
36
39
Sutton & East Surrey
10
38
10
38
Tendring Hundred
119
103
98
87
Three Valleys
81
275
49
251
Water and sewerage companies
8,349
10,072
7,018
8,280
Water only companies
735
1,070
625
937
Industry
9,084
11,142
7,643
9,217


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