Water chiefs are calling for a crack-down on £1.6bn of debt caused by tenants leaving without paying their water charges.
The Environment Minister Richard Benyon is this week launching a consultation on ways to tackle the problem.
One suggestion is to make landlords legally obliged to hand over information about their tenants. Alternatively a voluntary approach may be considered as a preferred initial measure.
Expressing his concern about the problem the Minister has said “It is just not right that responsible people have to pick up the bills of those who are not paying.”
An analysis of the £328million written off by the water companies shows that most water bill debtors were people in rented properties and, unlike electricity and gas customers, there’s no obligation on landlords to inform water companies of the identity of occupiers.
Water bills, which have risen by 50pc over 20 years to an average of £356 per year are set to rise sharply this year as these prices are linked to the inflation rate last year of around 5%.
The debt problem is seen as a serious one for the water companies as recent changes in legislation makes them responsible for sewers on private property. This alone could add another £14 a year to the average water bill.
Tom Entwistle, Editor of LandlordZONE commented: “In my experience the water companies could do a lot more to help themselves in this matter as most landlords would have no objection to indentifying their tenants to them. In fact very often I have found that the companies and their debt collectors seem quite ambivalent about receiving information volunteered by landlords regarding tenant details and forwarding addresses. Landlords should always use a comprehensive tenancy application form giving them all the information they need to trace absconding tenants. They should as a matter of course inform all the utilities suppliers in writing, including the water company, the tenant’s details, including forwarding addresses if known, at the start and end of every tenancy.”
I have better things to do than wait in on an expencive 0845 number to call a 3rd party to inform them of something a tenant should do anyway, only to be told due to data protection no information can be used.
A simple online form for address and tenant name and moving in date, id be more than happy to use.
Comment by YesAdam — 24/1/2012 #
This is yet another example of the Data Protection rules gone mad! We had a situation where a group of Students had not registered with a utility company and had run up a huge gas bill. We wanted to advise the utility company of the Tenants names but they told us that it was not our duty to give them the tenants details.
Our belief is clear, this government needs to put in place, legislation, that safeguards, utility companies and landlords alike and saves millions of pounds where such Tenants seem to be taking advantage of what can only be described as a system that is failing.
Comment by Simon Harrison — 24/1/2012 #
I agree with Tom; as a matter of practice, the utilities are advised of the new occupant and meter readings on check in, even if it is a duplication of their opening contracts.
Most do have an online service, but writing seems to be more effective.
But I will support them once utilities understand that when dealing with the deceased’s estate they cannot speak to the account holder…
Comment by Leasehold Answers — 25/1/2012 #
Credit and debt agencies share personal details.
Who says LL’s can’t let utility companies know someone’s details ?
I email the utilities at every tenancy change the meter readings and T’s names to cover myself and only send refund T’s deposit to a forwarding address so I have that to give the utility companies.
Comment by dave jobsob — 25/1/2012 #