What goes into my business’s water bill?
Wednesday 30th October 2024
Understanding your commercial water bill is the first step to lowering it
Water bills are a key expense for any business, especially those in sectors such as hospitality, healthcare, or manufacturing. But paying for water isn’t as easy as turning on a tap – there are several factors that contribute to your commercial water payments, and understanding these elements is the first step to cutting your costs.
That’s why we’re here to help. We’re going to take a closer look at what goes into your business’s water bills, exploring the ways your organisation can reduce its water reliance, drop your bills, and practice more sustainability.
Explaining business water bills
Thanks to the Open Water market, which saw the deregulation of business water back in 2017, organisations across the UK are now able to switch their business water supplier freely, without being tied to using a regional supplier dependent on location.
This means businesses now hold the power when it comes to choosing and switching to the best water supply company for their needs, in the same way you can with business energy bills.
Every supplier will layout their bills in a slightly different way, but the bulk of the information found within will be the same. Seeing a breakdown of the various factors within the bill can give businesses the information they need to make an informed decision about choosing the right supplier.
Information included in water bills
The majority of commercial water bills will include the following information:
- - Business details, including name and address
- - A customer reference number
- - A Supply Point ID (or SPID), outlining which water supply goes to which premises
- - The period of time covered by the bill
- - The summary of charges accrued, including the total owed and any debts which are outstanding
- - Charges from the previous period, including any services or VAT
- - A breakdown of charges, showing a fixed charge for services and charged based on metered usage (where applicable)
How are water bills calculated?
Commercial water charges are based on two key factors: how much clean water your business has used during the billing period, and how much wastewater your business has produced.
Like your gas and electricity bills, water providers will have different ways of charging companies for water and wastewater. For example, your wastewater is calculated as a percentage of your clean water, and is unique to your business.
The vast majority of water providers send either annual or six-monthly statements. These will detail the future charges to be taken every month. Some suppliers, meanwhile, will send a monthly bill.
What is a Supply Point ID?
Every business – regardless of size or sector – has a core SPID number. This number will have all your usage and data attached to it. It is specific to your business, and allows suppliers to locate your water consumption and charges from the national database.
Information attached to your SPID includes additional charges, meter readings, and sewer allowance.
Your clean water and wastewater charges will be shown separately on your bill. Your waste SPID will end in ‘S’ plus two numbers, while your clean water SPID will end in ‘W’ plus two numbers.
Can you reduce your business water bill?
You aren’t bound to a specific water supplier, and can always shop around for alternative deals. Study a breakdown of your bill and see how it compares to what is being offered by other water suppliers available to your business. It may be that another supplier is more aligned with your business goals.
Water suppliers often offer competitive deals for new business customers, so whether you’re looking for lower prices or greater sustainability, don’t be afraid to explore your options.
Get in touch with Everflow today
Looking for the best business water supplier for your needs? Find out why it’s time to switch and save with Everflow now.