Are Landlords or Tenants Responsible for Water Bills?

Receiving a water bill may not be the most thrilling aspect of renting a property, but it is crucial to understand the topic to prevent misunderstandings between landlords and tenants. There isn’t usually a definitive legal answer regarding water bill payment responsibilities, which can lead to confusion for everyone involved.

This comprehensive guide will answer a question that has perhaps left you scratching your head. Are landlords responsible for water bills? Or are tenants responsible for water bills? And can a landlord split the water bill? The answer often depends on what’s been included in the tenancy agreement. Let’s find out the details.

Are landlords responsible for water bills?

Tenants are usually responsible for paying the utility costs, including water bills, for the property they rent. However, this is not always the case. There may be clauses in the tenancy agreement that require the landlord to cover the water bill. The landlord should clearly outline in the tenancy agreement when landlords are responsible for water bills.

The landlord may choose to keep the water bill in their name and include it in the monthly rent. This is quite common in HMO [houses in multiple occupation] properties, such as student rental accommodation. Going down this route takes one responsibility away from the tenant, which may help attract the best tenants. On the other hand, it gives the landlord an extra responsibility.

The landlord is also responsible for paying the water bills when the property is between tenants.

When are tenants responsible for water bills?

Generally, this is the most common situation. The landlord should clearly outline in the tenancy agreement when tenants are responsible for water bills. Additionally, the landlord must notify the water supplier of the tenant’s details. Landlords should also inform the council when a new tenant moves in. If this is not done, the landlord may be liable if the tenant does not pay the full amount.

The tenant can change water suppliers but must inform the landlord beforehand and contact the previous supplier. These terms should be in the tenancy agreement. The tenant should contact the water suppliers when the tenancy is coming to an end.

Can a landlord split the water bill?

As a tenant, you might be wondering if there are any other solutions. This could especially be the case if you’re living with other occupants. So, can a landlord split the water bill?

In a House in Multiple Occupation (HMO) property, where multiple tenants reside independently but share common facilities, the responsibility for water bills often falls on the landlord. However, the landlord has the authority to divide these costs among the tenants. 

The landlord holds the obligation to transparently communicate the cost allocation methodology to all tenants. This ensures that everyone understands how their individual water charges are determined, promoting transparency and preventing disputes.

While splitting water bills is common in HMOs, it’s not the only approach. In some cases, the landlord may include water costs within the overall rent, simplifying the billing process. Alternatively, individual meters could be installed for each tenant’s unit, enabling direct billing from the water company. The best approach depends on the specific HMO and the agreement between the landlord and tenants.

Unsure if you should make the tenant responsible for water bills?

As explained above, the most common situation is the tenants are responsible for water bills. However, there are advantages when the landlords are responsible for water bills. 

For instance, this will give landlords control and reduce the chance of unpaid water bills. Although landlords are not responsible for unpaid bills if this is clearly stated in the tenancy agreement, there could be a negative impact on relationships. 

If tenants are staying in the property for a short period, it can be inconvenient to regularly update the details with the water suppliers. This issue becomes even more pronounced for landlords with a large number of properties in their portfolio.

On the other hand, there are advantages when tenants are responsible for water bills. For example, it means the landlord isn’t suddenly surprised or slapped with a hefty bill. This is mainly a problem for metered properties. It’s also good for the tenant/landlord relationship because there is direct clarity for the tenant. They know they are not being overcharged.

Additionally, tenants are encouraged to conserve water when they are responsible for their water bills, which also benefits the environment.

Communication and documentation

Scenarios such as working out if landlords are responsible for water bills highlight the importance of a high-quality tenancy agreement. This will prevent disputes about who is responsible for certain bills and then subsequently lead to a positive relationship between the tenant and landlord. 

Meter readings should be taken at the start and end of each tenancy. They should be checked regularly throughout the tenancy as part of the regular property maintenance. Check out our property maintenance page for more maintenance tips.

Now you know who is responsible for water bills; it’s worth making sure you have secured the best landlord insurance. To compare landlord insurance quotes, contact us at 01788 818 670 today to find out more, or get a quote online.