Water deregulation is upon us this week. After months of speculation about players, licenses, and most of all prices, we’re about to find out what impact the changes will have on businesses.
As always, there are rumours and opinions floating around about what will happen. Here’s what we know to be facts ahead of the big splash.
One of our mottos at Great Annual Savings Group (GAS) is to concentrate on what you can control and what you know, so here’s what we know to be facts ahead of the big splash:
- Deregulation will result in businesses’ water contracts changing, regardless of whether they intend for them to. Retailers will now sell water on behalf of wholesalers they represent. Many wholesalers have already set up specialist retail arms to sell their supply. One such example is Northumbrian Water. They now have their own retail business called ‘Wave’. Any business previously supplied by Northumbrian Water will now be a customer of Wave.
- Your new retailer won’t necessarily be close by. Thames water, for example, have decided not to enter the market, so all of their corporate customers have transferred to Castle Water in Scotland.
- If you let yourself run onto a deal with a new retailer automatically, you MUST read the contract thoroughly and ensure it’s right for your business. Leaving this to roll on automatically without knowing the ins and outs of the new contract is not advised.
- Average savings available by shopping around on contracts are, on average, between 2% and 5%. This doesn’t sound much, but for a business that spends £1 million that’s up to £50,000 of savings per year.
- Water Deregulation has been a success in Scotland, after a stuttering start. Similarly to here, the savings when Scotland deregulated in 2008 were minimal, but the margins expanded and more opportunity became available. It’s estimated that Scottish businesses have collectively saved more than £100 million since then.
Top Water Saving Tips.
Another of our most frequently-used mottos at Great Annual Savings Group (GAS) is “the best way to save on your cost is to use less.”
Check out our handy infographic below on how you can save your business money on its water bill. Some of it you’ll have heard before, but some of it should make you sit up and take notice.
If you feel a little lost at sea, GAS is here to help. Find out more how we’re helping businesses prepare for deregulation and how we’ve helped businesses in Scotland in their deregulated environment. Click here.