Water firms have been told to “redouble their efforts” to help vulnerable customers as they prepare to raise bills.

Ofwat has announced minimum standards for companies to ensure customers who need extra help are identified and their needs recorded.

The new vulnerability guidance says firms will be expected to provide high standards of service and support for those who are sick, have a disability or have mental health problems.

It follows a consultation which attracted more than 30 responses from organisations including Scope, Age UK and Mencap.

Ofwat said it also planned to take firms’ consideration of the vulnerability guidance into account as part of its licence conditions.

Lynn Parker, senior director for casework, customers and enforcement, said: “With customer bills likely to rise, it is vital that companies redouble their efforts to improve the service they offer, especially to those who are most vulnerable.

“This new guidance makes clear the level of support we expect all companies to provide to customers who may need extra help for whatever reason.

“If they do not do so, we will take action and hold them to account.”

Ofwat also published its latest cost of living report that found that 50% of bill payers in England and Wales continued to struggle “fairly frequently” over the last year with household bills, increasing to 65% of those with a long-term illness, health condition or disability.

It found awareness of support available for those struggling has continued to remain low.

Ofwat encouraged anyone who is struggling to pay a water bill to contact their supplier for advice to reduce bills or smooth payments or for help with debt.

Consumer Council for Water policy manager Janine Shackleton said: “This guidance will help to ensure water companies make it much clearer to people that extra help is available and exactly what support they should expect to receive.

“Awareness of additional support though remains far too low and the industry as a whole needs to do a much better job of ensuring people are aware this extra help exists.”