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Chief Executive Barbara Young said compulsory metering in existing homes, combined with water efficiency measures such as low flow showers and subsidising the replacement of old toilets with low flush models, could save at least 65 megalitres of water a day across the south east and London - equivalent to around 26 swimming pools.

This is about the same as the expected increase in water demand in the growth areas of Ashford and the Thames Gateway.

?Our water environment is already under pressure in some parts of the south east - and with future housing and population growth, there will be more pressure on the finite amount of water available,? Barbara Young said.

?The best results show schemes that combine metering with retrofitting water savings measures, because installing water efficient devices or appliances can financially benefit metered customers.

?Current consultations on compulsory water metering and water efficiency regulations in new buildings highlight the necessary steps being taken by Government to manage water demand. But the real challenge is to improve water efficiency in existing homes to help offset increased demand from new housing.

?Many UK homes have old loos flushing nine litres of water or more. In fact, each of us flushes away about a third of all the water we use - in real terms, around five buckets of water a day. Yet there are low or dual flush toilets and retrofit kits on the market that use as little as three litres.

?It makes sense to convert old toilets to flush less, or if a replacement is planned anyway, provide a subsidy to make the replacement as water efficient as possible.?

The report, Water efficiency in the south east of England - Retrofitting existing homes, also shows that water companies could avoid or postpone building a new reservoir or a water transfer if retrofitting in existing homes was increased. The demand management measures, including low flow showers, metering, and low water use fittings, can cost considerably less than traditional water resources development and have less impact on the environment.

?Across the whole of the south east, the expected increase in demand from new developments by 2015 will be in the region of 160 megalitres a day. Retrofitting could cater for up to half of this increase.

?We all need to be smarter about the way we use water. There is a whole range of low water use products available on the market - taps, toilets and showers - most of which pay for themselves in months and have little or no difference in performance,? Barbara Young said.