WATER companies in Kent and other parts of the South East are considering proposals to install compulsory water meters in thousands of homes in the region.

The firms say last summer's hot weather has sparked an autumn drought with water supplies dropping to their lowest levels for many years.

Folkestone and Dover Water is now considering an application to the Government for 'water scarce' status, which would allow the company to impose water meters on all the households it serves.

The suppliers hope forcing people to pay for the amount of water they use may encourage them to conserve resources.

A spokesman for South East Water said the average unmetered bill over a year was £126, compared to £108 for the average metered bill - meaning an annual £18 saving for the consumer.

Customers of seven companies covering the South East, ncluding Mid Kent Water, Southern Water, Thames Water, South East Water, and Folkestone and Dover Water, have been urged to use water sparingly.

A fortnight ago the Environment Agency warned that Britain faced a winter drought unless there was significant rainfall.