What challenge(s) have you faced this past year?

Across the UK in 2025, millions of households are still missing out on support designed to make water bills affordable. Policy in Practice analysis shows that 3.8 million eligible households are not receiving a water social tariff, leaving £745 million unclaimed each year, an average loss of £194 per household, simply because people are unaware of the help available or find the application process too difficult.

Southern Water faced challenges of low awareness among customers, complex applications, and the difficulty of identifying households that need help before they fall into arrears. Internal processes relied on more traditional methods of assessing eligibility, including application forms and manual checks, with customer teams facing challenges in understanding a customer’s full financial position, hindering their ability to signpost them to wider support.

The wider cost of living crisis has intensified these issues. As budgets have tightened, demand for support has grown sharply, placing extra strain on customer service teams and increasing the risk of debt, disconnection from services and long term hardship.

What led you to choose Policy in Practice's product to address your challenges?

Southern Water chose the Policy in Practice Better Off Calculator because it brings everything customers and teams need into one simple, reliable platform. The tool assesses eligibility for social tariffs, applies the relevant discounts, and checks entitlement for all national and local benefits. This holistic approach helps customers increase their monthly income by an average of £400, improving their ability to pay their water bills and stay financially resilient.

The calculator significantly reduces processing time. What previously took days can now be completed in minutes. A self serve option empowers customers to complete checks at their own pace, while customer service teams receive clear, accurate results instantly. This reduces dropouts, improves customer experience and helps teams manage demand without increasing operational costs.

Southern Water also valued the tool’s ability to raise awareness beyond its own customer base. Eligibility is built directly into the Better Off Calculator used on GOV.UK, meaning any household completing a benefits check in the region is automatically notified if they qualify for a social tariff.

Finally, the calculator gives customer facing teams the confidence and information they need to offer holistic support. Built in guidance helps them identify wider financial issues, signpost to additional help and address the root causes of debt, not just the water bill.

What success have you had, or expect to have, as a result of using your Policy in Practice product?

Reporting analysis within the Better Off Calculator showed that 4,973 Southern Water households were missing out on support they were entitled to, with £2.45 million in unclaimed benefits, an average of £492 per household each year.

The introduction of the Better Off Calculator is enabling Southern Water to:

  • Reduce dropouts: our pioneer client using the same model reduced dropouts from 35% to 0%, and Southern Water is already experiencing similar improvements
  • Increase operational capacity: the calculator supports over 30,000 assessments a year without additional resource
  • Improve accuracy and speed of social tariff awards: processing time is reduced from days to minutes
  • Help staff provide holistic support: by linking tariff assessments with benefits checks, budgeting guidance and income maximisation
  • Prevent debt and arrears: by connecting tariff decisions with ability-to-pay assessments, making early intervention far more effective

Together, these gains are helping Southern Water reach more customers, resolve hardship earlier and support financial stability across the region.

Reflecting on your work and that of your colleagues, what has been your most notable success story from 2025? How has Policy in Practice contributed to this achievement?

Southern Water’s most significant success has been transforming how vulnerable customers are identified, assessed and supported. With the introduction of a simple digital tool, the company has greatly improved both reach and impact.

The Calculator ensures no customer is “missed” due to complexity or lack of awareness. It also helps advisors spot unclaimed national benefits worth far more than a single social tariff discount. For many households, this additional income, often hundreds of pounds each month, is the difference between constant struggle and long term stability.

The tool has also strengthened Southern Water’s debt prevention work. Budgeting guidance, built-in benefits checks and an understanding of a customer’s overall financial picture help teams support customers earlier, reduce arrears and create sustainable payment plans.

Overall, the Better Off Calculator is enabling Southern Water to deliver a more inclusive, efficient and supportive service, one that meets rising demand, improves outcomes and prevents vulnerable customers from falling through the cracks.