NORTHUMBRIAN Water has announced plans to create about 80 jobs in the region, but it is getting tougher with payment dodgers and warned customers to brace themselves for more price rises.

The group, which employs 1,648 people in the North-East, will recruit additional workers later this year and outsource contracts to specialist companies when it assumes ownership of the region’s drains and sewers. Under Government proposals the responsibility for maintaining the network will transfer from local authorities to private water companies on October 1.

The Durham-based utility firm estimates the move will increase its costs by about £20m in the first year, which will rise by 50 per cent by 2014.

The company, which announced a leap in annual profits to £181m from £170.2m, plans to pass some of the additional costs on to bill payers.

Heidi Mottram, at the end of her first full year as chief executive of the company admitted any increase in tariffs would inevitably be met with dismay by householders. But she pointed to the latest independent report that revealed almost nine out of ten customers were satisfied with its service and 85 per cent thought Northumbrian delivered value for money.

Mrs Mottram added the company remained “sensitive toward people who struggle to pay their water bills” but that it was introducing more stringent measures to deter customers who deliberately avoid payment.

The company has signed up to the Credit Account Information Sharing system run by Experian, which, in extreme cases, could lead to Northumbrain Water customers getting a black mark against their credit rating. Its debt recovery measures also include the issuing of court orders.

However, the company fell short of asking for the Government to give it the power to cut off water supplies to customers who consistently refuse to pay bills.

“We do not want to be the big, bad guys – this is about being fair,” said Mrs Mottram.

“It isn’t right that people who avoid payment for a service which they have received force up bills for those customers who pay.

“These type of measures are a last resort. We know that affordability is a genuine concern for some customers and we do all that we can to offer flexible payment schemes and help people manage their household bills.”