Ofwat annouced this week they are looking for new powers to monitor and enforce high levels of customer service. As David Black, Ofwat CEO pointed out.
“In England and Wales, households are not able to choose their water company, so it is crucial that good customer service is not a postcode lottery. We want the powers to enforce that fundamental expectation. People expect their water company to get the basics right and rectify things quickly when they go wrong and to take responsibility and offer compensation when appropriate.
“Companies need to identify and meet the needs of all customers, they need to be clear in their communications and we expect them to work together to share learning that helps to achieve high standards across the sector. Where we see companies letting their customers down, these powers give us the scope to step in and take action.”
David Black, Ofwat CEO
They have launched a consultation, for this to be also part of the license condition, which are available at the links below
- Putting water customers at the centre of water company services
- Ofwat seeks powers to drive higher standards in customer service across water sector
- Customer Licence Condition research report
- Putting water customers first: A consultation on introducing a customer-focused condition into the licences of all water companies in England and Wales
Key proposals for consultation
- Modify water company licenses in England and Wales to introduce a customer-focused condition.
- Set clear and binding expectations on water companies regarding the service and support they provide to household customers and non-household customers in England and Wales who are not supplied by a retailer.
- Ensure that the proposed modification benefits both household and non-household customers.
- Monitor compliance against the licence condition through annual reporting requirements.
- Provide clear guidance to water companies regarding implementation timescales for the proposed modification.
Key Observations from Research Study
- Participants expressed a desire for more specific and detailed guidance from water companies.
- There was a need for clear definitions of vulnerability and relevant communication channels.
- Participants emphasized the importance of tailored services and communications for customers in vulnerable circumstances.
- Water companies were expected to collect and record information on customers’ vulnerabilities.
- Participants wanted more clarity on how water companies would provide tailored services and communication.
- It was important for customers in vulnerable circumstances to be informed about accessing support.
- Participants highlighted the significance of understanding diverse needs and training staff to be sensitive to vulnerable customers.
- Water companies were expected to work with other organizations to offer comprehensive services.
- Participants appreciated the specific guidance for supporting financially struggling customers.
- Water companies should provide a range of options and payment plans for customers struggling with their bills.
- Companies should have processes in place to identify customers falling behind on their accounts and ensure they are aware of available support.
- Proactive communication was essential, including keeping up-to-date records, providing information in various formats, and using different channels.
- Participants desired more specificity on waiting times, call-back services, and communication channels.
- There was limited awareness and understanding of enforcement actions by Ofwat.
- Participants expressed a preference for compensation over fines, particularly for personal restitution.
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