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Debt Collection Performance and Income Deprivation

Price: £500


Ref: 09/CU/04/6
ISBN: 1 84057 531 X

This report examines the relationship between water company unrecovered revenue (debt) and income deprivation at the small area level. Debt has become a growing problem for water companies in the UK, rising by 40% over the last 5 years. It has been postulated that one reason for the variation in levels of debt between water companies is the variation in levels of socio-economic deprivation around the country. Data obtained at the individual property level from 13 participating water companies covering 80% of the population of England and Wales was analysed against information on income deprivation. A very strong relationship between debt and deprivation was demonstrated but other factors relating to variations in the billing and revenue recovery processes also played a part. The report makes recommendations to support improved revenue recovery in the industry. This is seen as particularly important in the context of the prevailing economic conditions in the UK in 2009.

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