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Tuesday 31 January 2012

Water industry proposals reviewed


As reported in The Property Drum today the Government is considering pulling back from powers that would force landlords to share information on changes of tenancy with water companies, and even make them liable for their tenants’ debts.
Proposed under The Flood and Water Management Act, the Government’s current plan is to make owners liable for payment of water and sewerage bills if they fail to provide specified details of occupiers.
Mindful of the burden that regulation may impose on landlords, the Government is considering whether ‘bad debt’ can be tackled through a voluntary and non-regulatory approach.
Government believes that the lack of consequences of non-payment has contributed to unpaid bills from domestic water customers spiralling from £705m in 1998-99 to £1.635bn in 20010-11. The industry wrote off approximately £328 million of household debt in 2010-11 an increase of £168 million from the previous year.