From the offical receivers website under the freedom of infomation act/ technical manual:
40.100 Water rates
Where water is supplied under a charges scheme that is rate-based rather than metered, the charges scheme usually provides that any standing charges are due and payable in advance on 1 April each year. Therefore the whole of that year’s charge, or unpaid balance at the date of the winding-up order or bankruptcy order , may be claimed in the proceedings, in addition to any arrears from previous periods. As the whole debt becomes due prior to the insolvency, it is a provable debt as defined in paragraph 40.12.
Thus, if a charge of £240 for water services made on a consumer is payable in full on 1 April 2000, and monthly payments of £20 are made on that day and on 1 May 2000, then a bankruptcy order is made against the consumer on 1 June 2000, the claim in the bankruptcy would be £200 (£240 - £40).
The water company cannot take steps to recover the balance of the debt, or to seek payment from a bankrupt for the continuing supply of water, until the following 1 April, the commencement of a new charging year. This should be taken into account by the official receiver in a bankruptcy when considering expenditure in the assessment of contributions to be made under an income payments order.
Charges for metered supplies are treated differently as, generally speaking, the meter will be read at or about the date of the winding-up or bankruptcy order and the provable claim based on that reading. New supplies will be paid for when charged. In cases of doubt, the official receiver should ask the water company to provide a copy of its charges scheme for scrutiny.
