The cost of mains water is already a significant overhead to sports centres, and soon, prices will increase.
Here’s AquaSwitch’s breakdown of what you need to know about the 1 April 2022 changes in business water rates.
Let’s start at why sports centres already pay a lot for their water:
Massive consumption of mains water - Showers, toilet facilities and keeping the pool topped up all contribute to using significant volumes of water. Volumetric business water rates levy a unit cost for every cubic meter of water consumed.
Trade effluent charges - The draining of chlorinated pool water requires consent from the local water company and often results in additional drainage charges from your business water supplier.
Surface drainage charges - Sports centres and playing fields often cover a large area. In the North of England and Scotland, businesses pay water surface drainage rates based upon property size.
April 2022 water price increases
On the first of April 2022, regulator Ofwat will temporarily allow commercial water suppliers to increase their default water rates. The one-off price rise is designed to protect the water industry from the significant levels of bad debt caused by COVID-19.
Additionally, the underlying wholesale cost of water is changing. As climate change takes effect and there is increased demand on the mains water infrastructure, the underlying cost of mains water supply is increasing.
In April 2022, the average increase is 5 per cent, depending on the location of your sports centre.
What can I do about increasing water rates?
The majority of sports centres have never switched water suppliers and so pay higher than necessary out-of-contract rates.
The English water market has been deregulated for five years, and the savings available from switching are now significant. Sports centres can mitigate increases in water costs by switching to a more competitive tariff.
See how much your business can save with the free commercial water comparison service with AquaSwitch.
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