Local media report that 62% of Southern Water’s smart meter points - installed since 2010 - are recording a GBP162 decrease in bills per year.
Business Green reported that in the city of Southampton alone, consumers with smart meters are saving 5.3 million litres a day.
The announcement of the benefits come at a time when the utility has deployed smart meters to 90% of its consumers and is expecting to complete the full deployment by next month.
Almost 450,000 water meters have been installed in homes across Kent, Sussex, Hampshire, and the Isle of Wight.
Commenting on the development, Richard Price, director of engineering and construction at Southern Water, said: "Our customers have worked hard to reduce their consumption by 16.5%, against a national average of 10% when having a water meter installed."
The results will likely increase pressure on the UK government to support the wider rollout of smart water meters as more utilities invest in smart water networktechnology.
In September 2015, Itron engaged in a contract with water utility Yorkshire Water in a bid to improve the utility’s water management and meter billing system to its customers.
The deal includes Itron supplying the utility with smart water meters equipped with radio communication modules over the next five years.
Yorkshire Water will also utilise Itron's leak notifications and alarm options to reduce costs due to leakages in its distribution line, reported Metering & Smart Energy International.
Commenting on the deal, leakage and metering manager at Yorkshire Water Tony O’Shea said the utility will benefit from Itron’s water solution in improving its customer service to its consumers receiving more than 1.2 billion litres of drinking water a day.
Mr O’Shea said by implementing Itron’s hardware and software applications in its grid system, Yorkshire will provide actual and accurate billing to consumers.
The development will in turn encourage conscious water habits by consumers resulting in them saving money, added O’Shea.