Committee publication · Correspondence · 6 March 2026

Correspondence from Southern Water regarding debt collection practices, dated 6 January 2026

From: Environment, Food and Rural Affairs Committee

Inquiry: Reforming the water sector

Summary

Southern Water responds to EFRACOM's November inquiry about debt collection practices. The company reports 55,059 enforcement cases since 2016, with 13,120 involving debts under £1,000. It emphasises customer support measures including payment schemes, social tariffs, and vulnerability protections, stating litigation is a last resort after 110–125 days of early collection engagement.

Key findings

  • 55,059 enforcement agent cases instructed since 2016; 13,120 involved judgment debts under £1,000
  • Southern Water has never sought Suspended Committal Orders; does not use this enforcement method
  • Early-stage debt collection typically lasts 110–125 days with multiple contact attempts (letters, calls, SMS, emails) before external agency referral
  • Customers with dementia or critical illness are not pursued via litigation; third-party debt collectors are trained to identify vulnerability and assess social tariff eligibility
  • 30-day notice period given before County Court claim issued; payment plan options available at multiple stages

Tone

Procedural

Topics

consumer-protectiondebt-enforcementwater-utilitiesvulnerable-customers

Key actors

Southern Water Services Ltd, Lawrence Gosden, Alistair Carmichael MP, Environment, Food and Rural Affairs Committee, Citizens Advice, Money Advice Centres, Step Change

Notable line

Collecting a debt through litigation would be a last resort, after providing extensive opportunities to rectify the debt through other options.

Key Quotes

Since that time, there have been 55,059 cases where enforcement agents were instructed, with 13,120 of these being in respect of judgment debts under £1,000.
Lawrence Gosden, Chief Executive Officer, Southern Water · responding to committee inquiry on enforcement data since 2016
We have never sought Suspended Committal Orders (SCOs) as we do not use this as a method of enforcement.
Lawrence Gosden, Chief Executive Officer, Southern Water · clarifying enforcement tools not used by the company
If a customer is suffering from dementia or a critical illness, they will not be pursued for a debt via litigation.
Lawrence Gosden, Chief Executive Officer, Southern Water · describing vulnerability protections in debt collection
The length of the early collection journey typically lasts between 110 and 125 days.
Lawrence Gosden, Chief Executive Officer, Southern Water · outlining timeline before external debt collection agency involvement
Collecting a debt through litigation would be a last resort, after providing extensive opportunities to rectify the debt through other options.
Lawrence Gosden, Chief Executive Officer, Southern Water · explaining overall debt recovery strategy and escalation approach
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Source · parliament.uk record ↗