UK WATER INDUSTRY BENEFITS FROM THE POWER OF EQUIFAX DATA
Research Leveraging Equifax Data Highlights Debtor Profiles and Supports Strong Industry Recommendations
London, October 19 2004 - Equifax plc recently delivered its findings to the UK Water Industry and Government bodies after conducting pioneering research into water indebtedness for UK Water Industry Research Ltd (UKWIR). Following an in-depth tender process, Equifax was chosen by UKWIR to conduct vital research into water company debtors, to help understand why some customers do not pay. This is the first time such thorough research has been conducted in this area.
The water industry currently faces a challenge in tackling the issue of bad debt and tracking non-payers. Unlike other utility providers, the water industry cannot disconnect an individual's water supply, with the result that non- payment has become a serious issue for the Industry. With its comprehensive databases and analytical expertise, Equifax was able to help the water industry better understand and profile its own debtor data, building the foundation for future industry research and individual company debtor understanding. This will assist the Industry by removing preconceptions, enhance discussions with Government, regulatory bodies, and consumer groups, and better facilitate management of its customers who fall into arrears.
Mike Farrimond, Director of UK Water Industry Research Limited, says, "UKWIR is committed to helping our members develop techniques to improve their understanding of consumer credit behaviour and establishing best practice protocols. We chose Equifax to undertake our initial research project for the breadth and depth of its data, as well as for its proven analytical capability."
Among the many research findings, Equifax substantiated that younger customers were more likely to be debtors than older generations, and that many of the debtors had significant debts elsewhere. In addition, the research revealed that people who live alone are more likely to be debtors than couples.
Michael Shannon, Managing Director of Equifax, comments, "We are delighted to be working with UKWIR and believe Equifax's research will be instrumental in bringing the industry together to better understand the opportunities for improved management of its customers. Using the power of Equifax's vast data resources, we have been able to bring understanding and clarity to industry thinking and to help it understand the importance of knowing its customers."
"We look forward to working closely with UKWIR again in the future and helping its members put new processes in place and establish a pool of best practices that can be accessed and shared by all the UK Water Companies. This partnership is testament to the power of Equifax's data and the level of credit expertise and support we can provide businesses."
The full report containing Equifax's findings will be published by UKWIR and will be available via its website (www.ukwir.org).
