Thames Water pays CFO 1 million signing fee amid financial crisis

Thames Water has paid its chief financial officer a delayed 1 million signing-on fee and agreed to settlements for retention payments to other top executives, a move that has drawn sharp criticism from government officials and campaign groups as the company battles to avoid collapse. The payments were disclosed in a letter from Thames Water chairman Sir Adrian Montague to the Environment, Food and Rural Affairs Committee, sent last week.

The 1 million payment to Steve Buck was made at the end of July, 15 months after he joined the company in April 2025. According to the letter, the payment was drawn from an emergency lending facility provided by the company's creditors. Sir Adrian stated that the payment was a necessary incentive to secure Mr. Buck's appointment and had been deferred when a wider retention scheme was paused last year. The decision to proceed was made after legal advice, with Sir Adrian telling MPs that reaching individual agreements would be cheaper and less disruptive than potential court proceedings.

The company also confirmed it has reached settlements over retention payments for a dozen current top bosses and two who have left the business. These payments...