Thames Water says it can survive for another year
British utility warns of ‘material uncertainty’ over its ability to secure enough liquidity
Thames Water has said it can survive for another 12 months but warned of “material uncertainty” over its long-term future as it seeks to avoid renationalisation.
The UK’s biggest water and sewerage company on Wednesday said that “it is reasonable to assume” Thames Water will have “adequate resources” to continue its operations for the next 12 months.
But in its annual report, Thames Water’s directors cautioned that there was “material uncertainty” over the company’s ability to secure enough liquidity to see it through to a successful recapitalisation.
Thames Water, which serves 16mn customers, has been teetering on the brink of collapse, weighed down by huge debts and in effect in the hands of creditors since shareholders walked away in 2024.
The arrival of Andy Burnham in Downing Street next week has cast further doubt over Thames Water’s future.
Burnham, who is set to succeed Sir Keir Starmer as prime minister on Monday, has said there should be greater “public control” of utilities, without spelling out what that could mean for Thames Water.
This is a developing story