Thousands of households with large gardens, swimming pools and hot tubs could face significantly higher water bills under controversial new pricing trials being prepared by water companies across England.
The schemes would introduce tiered charging systems under which customers pay progressively more as water consumption rises, with critics warning the plans amount to “social engineering” and a stealth tax on family living.
Affinity Water is preparing what could become the largest trial of its kind, potentially affecting up to 14,000 households across the Home Counties later this year.
The company previously ran a smaller pilot involving 1,500 properties between 2023 and 2025 and is now considering expanding the approach.
Under the proposed “block pricing” model, households would receive an initial allocation of water before tariffs rise in stages as usage increases.
Officials are also examining the creation of a fourth pricing tier aimed specifically at homes with exceptionally high consumption.
Portsmouth Water is developing two separate smart meter-based trials for the 2026–27 financial year.
One proposal would allow households to prepay for a fixed amount of water at a discounted rate, while usage beyond the allowance would incur higher charges.
Another scheme would reward households that use less water than expected with reduced tariffs.
Rather than relying on regional averages, smart meter data would be used to create personalised consumption baselines for individual households.
The company said broader postcode averages risked unfairly penalising larger families and confirmed households would be able to opt out of the schemes in certain circumstances.
Severn Trent has already launched its own rising block tariff trial affecting 5,000 households, while Anglian Water recently began a four-year pilot focused on non-household customers.
The experiments come after Labour introduced a legally binding target to reduce per-person water consumption by 20 per cent by 2038.
Baroness Brown previously suggested that households watering large gardens could face higher charges during periods of supply pressure in order to reduce demand.
The plans have triggered a political backlash, with Conservatives accusing ministers of using utility pricing to influence personal behaviour.
Opposition critics described the proposals as a “tax on bath time” and accused Labour of pursuing “class war” policies targeting larger family homes.
Ofwat has encouraged water firms to explore stronger demand-reduction measures and has previously suggested that owners of swimming pools, hot tubs and extensive sprinkler systems could face premium tariffs during shortages.
Consumer groups have also raised concerns about the potential impact on vulnerable households and larger families.
Citizens Advice warned that poorly designed reforms risked placing additional pressure on people already struggling with rising household costs.
Anne Pardoe of Citizens Advice said: “Soaring water costs are already pushing people to the brink.”
She warned that safeguards would be needed to ensure groups with higher water needs — including disabled people and families — were not unfairly penalised.
Affinity Water said it was continuing to analyse results from its initial trial, while Portsmouth Water insisted its proposals were intended to reward efficient usage rather than punish customers.
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