Walsall invention will help cut repairs

HomeServe's new 'LeakBot' is an electronic device that can rapidly detect problems in a home's water system and automatically calls both a plumber and the homeowner to alert them.

The company, based in Green Lane, is already working with one insurance company and is attracting interest from many more for the invention, which could help tackle the UK's £600 million a year bill for repairing household flood damage.

HomeServe boss Richard Harpin said the device, attached to the cold water pipe under a sink, worked by detecting the minor changes in water temperature that are caused by leaks, giving homeowners and plumbers early warning of the problem.

Its price tag will be revealed when the LeakBot goes on the market later this summer.

The device, which is being manufactured in Wales, is part of a new generation of technology being devised by the company's 25-strong technical team at HomeServe Labs in Walsall.

Mr Harpin said HomeServe was targeting the so-called 'smart homes' market, where more digital devices will be linked to householders' smartphones.

The company, employing 1,200 in Walsall, sells insurance polices and provides repairs for domestic emergencies ranging from burst pipes and leaky fridges to dodgy wiring.

Mr Harpin unveiled the new invention at the same time as the company reported strong growth.

Global customer numbers grew 11% to seven million. Revenue was up 8% to £633.2 million with pre-tax profits up by the same level to £82.6m.

In the UK customer numbers increased three per cent from 2.1m to 2.2m with profits also increasing the same amount to £58m.

In the United States profits were up 89 per cent to £12.1m combined with 17 per cent customer growth to 2.3m. There was further growth in France and Spain.

Chief executive Richard Harpin said: "This has been another very good year for HomeServe with all businesses performing well.

"We are particularly excited by the prospects for our US business. Profits have increased significantly whilst at the same time delivering strong customer growth."

He said the agreement to acquire Utility Service Partners would increase US affinity partner households by 9m to 42m and would enable HomeServe to accelerate its growth.

Mr Harpin said that in the UK, HomeServe had a strong business, which has grown profit and customers.

"I am confident we will deliver on our expectation of further good growth in financial year 2017, alongside continued investment in marketing, business development, international expansion and innovation initiatives," he added.

More than two thirds of HomeServe's customers are now outside the UK.

During the year it completed more than two million repairs across the group and delivered an improved customer experience, with a reduction in customer complaints and increased levels of customer satisfaction.

It expects growth to be driven primarily by its international businesses, with the UK continuing to deliver a solid performance.