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 company’s directors cautioned that there is material uncertainty over the ability to secure enough liquidity for a successful recapitalisation. Thames Water, which serves 16mn customers, has been teetering on the brink of collapse, weighed down by huge debts and effectively 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 the utility’s future. Burnham, set to succeed Sir Keir Starmer as prime minister on Monday, has called for greater “public control” of utilities without detailing what that could mean for Thames Water.

This is a developing story.