A commitment to end water poverty by 2030 appears to have “evaporated” as support by firms failed to match soaring bills, a watchdog has warned.

Almost 380,000 more households received lower water bills through water companies’ social tariff schemes over the last year, annual figures show.

Water companies across England and Wales helped around 2.3 million customers through social tariffs – up 19% on the previous year, according to data published by the Consumer Council for Water (CCW).

The value of help also grew, with customers who received help seeing an average annual bill reduction of £258 compared to £190 during the previous 12 months.

However, this coincided with the average water and sewerage bill rising by around 34% since April 2025.

CCW warned the growth in support “while welcome is not targeted or consistent enough to ensure everyone who needs help receives it”.

A study published by CCW in the summer estimated around 1.8 million households in England and Wales were living in water poverty, even before the impact of the record water bill rises took hold.

Water poverty is commonly defined as households spending more than 5% of their income after housing costs on water bills.

The watchdog has called for a new single social tariff for England and Wales to provide a “stronger safety net”.

It warned the existing “postcode lottery” of different water company schemes meant the level of support and those eligible for help varied considerably across the country.

The latest data shows the average bill reductions provided through the main water and sewerage companies’ existing social tariff schemes ranged from £159 to £474 a year.

It comes as the Environment, Food and Rural Affairs committee also called for a standardised social tariff as a minimum level of support for low-income households, among other measures to end water poverty by 2030.

CCW chief executive Mike Keil said: “Support from water companies is rising but so are water bills and the commitment water companies in England made to end water poverty by 2030 now looks like it has evaporated.

“It is unfair and unsustainable to have a postcode lottery approach to helping customers who cannot afford their water bill.

“A national single social tariff for water would provide peace of mind to households at the sharp end of cost-of-living pressures.”

More than 273,400 metered customers, in receipt of income-related benefits, secured an average bill reduction of £428 through the bill-capping scheme WaterSure.

To be eligible, customers must either have a large family or a member of the household with a medical condition which requires a lot of water use.

Many water companies also provide help through debt write-off schemes, hardship funds and other forms of financial assistance.

A spokesman for the Department for Environment, Food and Rural Affairs (Defra) said: “This government will always protect households from cost-of-living pressures, particularly those most in need of support.

“We have committed to expanding WaterSure, capping bills for more vulnerable customers, and we’ll also bring forward a strengthened Water Bill to increase public control and deliver fairer bills.”