Thames Water crisis deepens as holding company defaults on debt

The crisis enveloping Thames Water has deepened after its holding company announced it had been unable to meet debt repayments.

Kemble Water said it missed an interest payment that was due on Tuesday.

The firm said it had asked its lenders to take no immediate action so as to "provide a stable platform while all options are explored".

The announcement paves the way for a potential restructuring of Thames Water, which serves nearly a quarter of Britain's population.

Sky News exclusively revealed last week that the company's shareholders had decided not to proceed with a promised £500m equity injection amid an impasse with Ofwat, the industry regulator.

Thames Water provides water and sewage services to 15 million customers across London and southeast England.

Be the first to get Breaking News

Install the Sky News app for free

This breaking news story is being updated and more details will be published shortly.

Please refresh the page for the fullest version.

You can receive breaking news alerts on a smartphone or tablet via the Sky News app. You can also follow @SkyNews on X or subscribe to our YouTube channel to keep up with the latest news.