Thames Water seeks creditor votes to lift its super senior facility by £2.4bn

what happened

Thames Water Utilities Limited (TWUL) has launched a process to push its cash runway into autumn 2027, a step the company says will let it keep funding its capital investment plan. So far it has drawn £2.65bn of the £3bn available under its super senior facility, which is provided through a subsidiary, Thames Water Super Senior Issuer PLC.

Based on the latest forecast, the existing funding is expected to last only until late 2026 or early 2027, and the recapitalisation is not expected to finish before then. TWUL therefore proposes lifting the facility ceiling by £2.4bn, to £5.4bn, with the extra commitments raised in tranches over the coming months. To do this, a new vehicle, Thames Water Super Senior Upsize Issuer PLC, would become a lender under the facility and raise extra senior secured borrowing through loans and notes, ranking equally with the existing issuer.

The consent package would also let the super senior issuer draw £350m now and move a funding condition to 30 November 2026, which would open a further £350m that month. Creditors are due to vote by 29 October 2026, and voting may close early if the required majority backs the proposals.

why it matters

For holders of Thames Water debt and UK utility credit, the package matters because it delays a recapitalisation that has not yet been agreed. The outcome of the 29 October vote will shape the company's near-term liquidity and the terms attached to its debt. The available information does not show how creditors will vote.

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