![\"Thames](\"https:\/\/www.europesays.com\/ie\/wp-content\/uploads\/2026\/08\/Thames-Water.jpg\")
\t\tAndy Burnham has pledged greater public control of utilities (Yui Mok\/PA Wire)\t<\/p>\n\t\t\tSaturday 08 August 2026 1:59 am
\n\t\t\t\t\t\u00a0|\u00a0\u00a0Updated:\u00a0<\/p>\n
\t\t\tFriday 07 August 2026 4:20 pm\n\t<\/p>\n
\t\tAndy Burnham has pledged greater public control of utilities (Yui Mok\/PA Wire)\t<\/p>\n
Thames Water is facing a fresh threat to its survival after breaching pensions regulations, opening up the possibility of a costly probe.<\/p>\n
The Reading-based business, which could run out of cash<\/a> as soon as December, missed a statutory deadline at the end of June to value its company pension scheme and is now facing a potential investigation from the Pensions Regulator (TPR).<\/p>\n The defined benefit scheme, which is no longer offered to current employees, has more than \u00a31bn in assets and is paid out to thousands of retired staff.<\/p>\n In a statement, Thames Water said any investigation or litigation by TPR \u201ccould place restraints on the financial resources available to [Thames Water]\u00a0 \u2013 and consequently the timeline available to complete the recapitalisation \u2013 potential returns to equity investors and further affect the investibility and financeability\u201d of the company.<\/p>\n Failure to value the scheme\u2019s assets by the statutory deadline can trigger an investigation by the Pensions Regulator (TPR) and lead to enforcement action.<\/p>\n The breach comes as another blow to Thames Water as it fights for its survival to stave off nationalisation and keep on top of a near-\u00a320bn debt pile.<\/p>\n The troubled water firm \u2013 which serves around 16m customers, mostly in London and the South East \u2013 said<\/a> in its latest financial report in July that it has \u00a3515m in cash, plus access to another \u00a3750 million in backup funding if needed. But Thames confirmed this is only expected to last until some time in the fourth quarter of the year, meaning it will run out of liquidity by the end of 2026.<\/p>\n A TPR spokesperson said: \u201cWe are liaising with scheme trustees in our role to protect members\u2019 pensions but are unable to comment further.\u201d<\/p>\n \t\t\t\t\tRead more<\/p>\n \t\t\tBurnham risks \u00a34bn bill in Thames Water special administration<\/a><\/p>\n A Thames Water spokesperson said: \u201cThe Pensions Regulator has been informed that Thames Water and the trustees of the Thames Water Pension Scheme have not yet reached agreement on the scheme\u2019s latest triennial valuation within the statutory timeframe.\u00a0<\/p>\n \u201cWe remain in open and constructive dialogue with the trustees and the regulator, with the interests of scheme members our priority.\u201d<\/p>\n Thames Water added that it had not been notified of any investigation having been opened by the regulator.<\/p>\n The valuation for a separate Thames Water scheme, known as the Thames Water Mirror Image Pension Scheme, was completed by the statutory deadline.<\/p>\n Government rejected Thames Water rescue deal<\/p>\n Environment secretary Emma Reynolds last month rejected a rescue deal proposed by lenders that would provide some \u00a33.4bn in equity investment and \u00a36.5bn in debt financing.<\/p>\n