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Major utility under fire after serious violations: 'Should not receive special treatment'

"There is a huge amount of work to be done."

Thames Water may soon receive a record-breaking turnaround plan from its creditors.

Photo Credit: iStock

Thames Water faces public uproar after its creditors said it may take up to 15 years for it to fully comply with regulatory and environmental rules, the Guardian reported.

What's happening?

An official media release stated that the company's creditors have submitted a £20.5 billion (about $27 billion USD) turnaround plan to the British water regulator Ofwat. The funding aims to keep Thames Water private while rebuilding public trust through major system rehabilitation.

The plan promises a minimum of 135 fewer pollution incidents annually. The company will also add UV technology at key sewage treatment sites and replace old Victorian mains to reduce supply interruptions.

Proposed future company chair Mike McTighe said, per the Guardian, "There is a huge amount of work to be done to turn around Thames Water and deliver the improved service and environmental outcomes that customers and local communities deserve." 

However, critics like We Own It and other advocates see the proposal as evading tougher public control.

Why is this concerning?

Thames Water's restructuring plan submission follows Ofwat's record-breaking fine against the supplier. Part of the penalty accounted for the release of undeserved dividend payments at a time of high debt, as detailed in a Thames Water investor report.

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Violation Tracker UK noted that the company has received 102 enforcement actions since 2010. In 2017, 1,400 fish in Gatwick Stream and River Mole died due to a faulty switch at Thames Water's storm pump, the Mirror reported

However, following its regular price review, Ofwat granted a fee increase of more than 35% until 2030.

According to Consumer Council for Water chief executive Mike Keil, per the BBC, Thames Water "should not receive special treatment around performance targets at a time when customers are paying more and have a right to expect more for their money." 

He explained that customers have had enough of sewage spills. Contaminated waters pose safety risks to humans and animals. In 2024 alone, Surfers Against Sewage's records show that contaminated waters across the UK have caused 1,853 people to fall ill.

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What's being done?

The call for accountability is growing from all sectors.

In June 2025, environment secretary Steve Reed said in a statement that "Thames Water must meet its statutory and regulatory obligations to its customers and to the environment, and it is only right that the company is subject to the same consequences as any other water company."  

MP Charlie Maynard is pushing for a temporary government takeover, according to the BBC.

Meanwhile, nonprofit River Action wants an end to the company's greenwashing. It recently exposed the company's selective water quality sampling as "gaslighting the public." 

Like Surfers Against Sewage, River Action encourages community participation and accepts donations.

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