This article was updated on 27 July 2023
While we’re unable to discuss the recent press coverage relating to Thames Water, we can point to Thames Water’s latest announcement on shareholder funding. The company also made a previous statement on the press speculation and Ofwat made a statement on the financial resilience of the water sector.
Our diversified approach to investing means that we do not expect the current events surrounding Thames Water to have a material impact on the funding position or contribution rates coming out of the 2023 valuation, nor on the security of members’ promised pensions.
We remain of the view that, with an appropriate regulatory environment and a strong business plan, the long-term objective of repairing important UK infrastructure and paying pensions to our members are in strong alignment.