Billing journeys: Improving customer experiences

Key Take Aways

1. Customer satisfaction with billing issues is generally low, with many reporting poor communication, slow action, and lengthy resolution times.
2. There are significant variations in how water companies manage different types of billing issues, with better performance seen in support requests and payment methods compared to billing mistakes or meter-related problems.
3. Vulnerable customers, including those with cognitive or learning disabilities, are disproportionately impacted by billing errors and often experience more severe consequences, indicating a need for more inclusive support processes.
4. Customers’ trust in water companies is low from the outset, driven by negative perceptions around profits, environmental breaches, and recent bill increases.
5. A prevalent theme in customer journeys is the feeling of being left to drive communication, having to repeatedly follow up, with a lack of proactive outreach from companies.
6. Long waiting times and inconsistent communication exacerbate customer frustration, often leading to customers escalating their issues internally or externally.
7. Complaint handling and escalation processes are poorly explained and inadequately resourced, resulting in low awareness among customers about their rights and options for escalation.
8. Customer contact is often initiated by customers rather than water companies, with many having to contact multiple times to achieve resolution.
9. Satisfaction levels across key measures such as communication, action, and resolution are generally low, with less than a third feeling their issues are resolved satisfactorily.
10. Variation exists between water companies, with some performing relatively well on customer experience metrics, while others, notably Thames Water, Welsh Water, and Southern Water, fare poorly.
11. Proactive communication, transparency, and empathy are frequently missing, leading to perceptions of insincerity, poor understanding, and lack of accountability.
12. Customers value operationally competent support, clear explanations, and swift resolution, but these are often lacking, highlighting a significant opportunity for service improvement.

Key Statistics

• Almost 130,000 billing-related complaints were received by water companies in 2024–25.
• 28% of Stage 2 survey respondents are on the Priority Services Register, with 19% unsure.
• 58% of Stage 2 respondents report their issue required three or more contacts; among Thames Water customers, 72% required three or more contacts.
• Only 16% of survey respondents expressed strong satisfaction with communication, while over 33% were strongly dissatisfied.
• 41% of respondents overall believe their billing issues have been resolved, leaving a substantial proportion still dissatisfied or having given up.
• Satisfaction with action/support is low, with 19% at Stage 1 and 17% at Stage 2 feeling strongly positive.
• Over half (53%) in Stage 2 took multiple actions to express dissatisfaction.
• In Stage 2, only 18% strongly agreed that water companies were proactive in their communication.
• Between 29% and 65% of respondents across water companies felt their issues were satisfactorily resolved.
• Up to 77% of respondents state they are driving contact about their billing issues, pointing to reactive rather than proactive service.
• Respondents report their water company responses often lack clarity, with only about 15–20% strongly feeling they are clearly understood.
• Delay issues are widespread; 51% at Stage 2 believe water companies are slow to act, with many waiting over a month for resolution.

Key Discussion Points

• Significant scope exists for water companies to enhance overall customer satisfaction through better communication, faster action, and clearer explanations.
• Vulnerable customers experience heightened negative impacts, underlining the importance of inclusive, adaptive service processes.
• Customers’ low initial trust levels influence their engagement, requiring companies to actively rebuild credibility via empathetic, transparent interactions.
• The journey for resolving billing issues is often long and complex, with many customers requiring multiple contacts and escalations.
• Ineffective communication and poor record keeping inhibit resolution speed and consistency, affecting customer trust and perception.
• There is an urgent need to improve complaint handling systems, with clearer communication about rights, processes, and escalation pathways.
• Many customers are unaware that they can escalate issues externally, such as to the Consumer Council for Water, indicating awareness gaps.
• The research indicates notable variation in performance among water companies, with some demonstrating better customer support and resolution metrics.
• Customer expectations centre around proactive, knowledgeable, empathetic, and consistent engagement, which remains a challenge for most companies.
• Customers highly value prompt, personalised responses and are willing to engage more positively if the service quality improves.
• There is considerable potential for water companies to increase trust and satisfaction by implementing earlier issue detection and more transparent, empathetic communication.
• The report suggests systematic review and process optimisation are critical to reducing unresolved issues and improving overall service experience.

Document Description

This article is an in-depth research report examining customer experiences with billing issues in water services. It offers a detailed analysis of customer journeys, highlighting key pain points such as communication failures, delays, and inadequate complaint handling. Using quantitative and qualitative data, it compares performance across different water companies and identifies opportunities for service improvement, particularly focusing on vulnerabilities and the need for more proactive, empathetic engagement. The report aims to inform sector practices and support customer-centric reforms by highlighting best practices and areas needing urgent attention.