Business Water Rates Will be increasing in 2022. How to ensure you’re not overpaying. 


The majority of English businesses will pay out-of-contract business water rates, which will increase in April 2022 due to the COVID-19 pandemic.  

The water market was deregulated in 2017, allowing businesses to choose their water supplier. Running a business comes with many challenges, and understandably, thinking about changing water suppliers comes pretty low on the priorities list. 

Ofwat, the water regulator, is allowing business water suppliers a temporary increase in out-of-contract water rates to protect the industry from the effects of covid increases in bad debt.

Most businesses remain with a default business water supplier paying out-of-contract rates.

When do business water rates increase?

The default rates for business water increase with inflation. This is because the cost of maintaining and operating the local water network increases. 

However, April 2022 is a different story. Not only will businesses be hit with the usual inflationary increase – but they will also be charged more.

This is due to Ofwat’s decision to raise the price cap. However, there is a way to avoid these increased charges and pay the increased default rates. 

How to avoid the default rates

AquaSwitch provides the solution by helping businesses move away from default contracts and switch to fixed-term water contracts with alternative suppliers. Businesses can lock in cheaper business water rates for an agreed contract – exactly as you would with energy.

See how much your businesses can save today with the AquaSwitch business water comparison tool.

There are also additional reasons for switching your business water supplier:

Why should you switch water suppliers as a business?

As well as the considerable price increase on default rates in April 2022, there are other reasons you should switch your water supplier. These are: 

  1. Environmental consciousness – Commercial water suppliers are now offering green water tariffs to help offset the environmental impact of a clean water supply.
  2. Reduce costs – Water rates can be a significant overhead for businesses. Most businesses are stuck on their default tariffs which are much higher than a fixed term tariff. Compare different tariffs today and switch to a cheaper tariff. 
  3. Better customer service – Billing and charging complaints are common in the water industry due to a lack of investment in customer service. You can benefit from better customer services by making a switch to a water supplier that makes more of an effort to resolve customer issues.

Switching water suppliers is simple; businesses can immediately save up to 10% on total water rates. Switch business water suppliers today. You can also lower your businesses’ energy costs as a whole by using a business energy comparison tool.

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