What the 2025 Water Rate Rise Means for Your Business and What to Do About It

3rd June 2025

 

 

The April 2025 increase in business water rates has already impacted thousands of UK businesses and for many, it’s just the beginning. With higher costs becoming the new normal, the question for procurement managers and finance teams is simple: how do we regain control and future-proof our utility spend?

If your business is still on default water tariffs or rolling contracts, you could be paying significantly more than you need to. In this post, we’ll explore how fixed-rate water contracts can help you stabilise costs, simplify supplier management, and save money, and why now is the ideal time to act.

What happened to UK business water rates in 2025?

Water is often the overlooked utility quietly ticking along in the background of energy discussions. But with business water rates rising sharply in April 2025, that’s no longer the case. For many organisations, this year’s rate increase has added pressure to already stretched budgets.

Businesses on default or out-of-contract tariffs have been hit the hardest. These rates are typically much higher than those available through contracted agreements, leaving many companies vulnerable to sudden cost increases with little room for negotiation.


 

Why Switching Now Makes Business Sense

We help businesses move off default tariffs and onto fixed-rate 36-month contracts - protecting them from further increases and providing stability during uncertain times.

Stop Overpaying: The Risk of Default Tariff's

Default water tariffs are not only expensive, they’re also unpredictable. By switching to a fixed contract, you can lock in a competitive rate for the next three years, shielding your business from future price hikes and giving you certainty over utility spend. 

Stabilise Costs with a Fixed 36-Month Contract

A fixed supplier service fee for the full 36-month contract, means the core of your water charges remains stable throughout the term, covering customer service, billing, account management, and administrative costs.

While wholesale rates (sourcing, treating, and delivering your water, as well as wastewater services) may adjust annually due to regulatory changes, these are transparent, controlled, and communicated in advance. This structure allows you to forecast your utility spend with greater confidence. 

Add Water to Your Utility Bundle

If you’re already one of our customers for gas and electricity, adding water makes perfect sense. Managing all your utilities under one trusted partner means:

  • One supplier relationship
  • One point of contact
  • Optional group invoicing across multiple sites
  • Simplified administration

It’s a smarter, more streamlined approach to utility procurement - saving time and reducing internal overhead.


 

Our Supplier Partners: Why Who We Work With Matters

We don’t just promise value, we deliver it by partnering with two of the UK’s leading water suppliers. Here's why our relationships matter to your procurement strategy:

Everflow

Everflow is the UK’s fastest-growing business water retailer, and they’ve earned that title for good reason. Their model is built around making water supply simple, sustainable, and affordable for businesses.

What makes Everflow stand out:

  • Transparent, competitive pricing - No hidden fees or hard-to-understand rate structures.
  • Efficient quoting and onboarding - Their platform enables quick, reliable quotes so you can move fast when budget windows are tight.
  • Sustainability-first - Everflow offsets carbon and continually invests in green innovation, aligning with many businesses’ ESG priorities.
  • Excellent customer experience - Known for quick issue resolution and helpful support teams.

For businesses that value speed, clarity, and consistency, Everflow is an ideal water partner.

Wave Utilities

Wave Utilities is a joint venture between Anglian Water and Northumbrian Water - two of the UK’s most respected regional wholesalers. This gives Wave a unique edge in both operational resilience and customer service.

Why Wave may be the right fit for your business:

  • Established infrastructure - Ideal for larger or multi-site businesses that demand reliability across regions.
  • Dedicated account management - Especially valuable for enterprise clients with more complex needs.
  • Strong regulatory and market knowledge - Wave’s experience in regulated environments helps maintain compliance and billing accuracy.
  • Tailored support - Wave offers flexibility in account structures, making them a top choice for facilities with varying consumption levels.

Whether you're overseeing five locations or fifty, Wave delivers consistent, intelligent service and support.


 

Switching Is About Strategy, Not Just Cost

Switching water suppliers isn’t just about chasing cheaper rates. It’s about building a long-term strategy that:

  • Avoids unpredictable budget spikes
  • Simplifies supplier relationships
  • Aligns with sustainability goals
  • Reduces time spent on utility management

By partnering with us and our suppliers, your business gains access to trusted infrastructure, flexible contract terms, and proactive support.


 

Take Control Before the next price rise

While the 2025 price increase has already landed, it’s not too late to take action. If you're still on a default or variable contract, switching to a fixed-rate agreement now can provide immediate savings and long-term financial control.

Whether you're managing a single site or multiple locations, Fidelity and our supplier partners are here to make the transition simple, efficient, and worthwhile.