Water Deregulation

When the UK water market deregulates in just a few months in England, it will open competition and competitive prices with UK Water Companies. This will also mean that businesses will need to negotiate prices with suppliers in the same way that gas and electricity contracts are currently negotiated.

In 2008 the water market was deregulated in Scotland, the effect on Scottish businesses has been encouraging in terms of water delivery, customer service and generating efficiencies. Specifically, in the first five years after deregulation.

In the first five years to April 2013, Scotland:

  • Achieved more than £35 million in Water efficiency savings
  • Experienced a 26% increase in customer satisfaction
  • Made available more than £30m worth of discounts
  • Saved public sector customers more than £20m in three years
  • Helped customers save 16 billion litres of water and more than 28,000 tonnes of C02 (Business Stream)

Overall deregulation has been a good move in Scotland. However, as we see with gas and electricity supplies, the choices business make will determine whether England water deregulation is good or bad on a case by case basis.