Water company executives in England and Wales have seen their total pay rise by 1.5% to £25.3 million over the past year, despite a government bonus ban and widespread public anger over soaring bills and pollution, the Guardian can reveal.
Mark Thurston, chief executive of Anglian Water, received £1.9 million, including a £500,000 'retention payment' that the company claims is not a bonus. Louise Beardmore of United Utilities took home £2.5 million, £1.1 million more than the previous year. The increases come as water bills rise and Thames Water faces insolvency, with about 23 million people under hosepipe bans amid drought warnings.
Eight companies expect to be covered by the bonus ban for 2025-26, which applies retrospectively to those responsible for serious pollution or financial failings. However, firms have used loopholes, such as payments through parent companies not linked to regulated performance, to boost executive pay. Yorkshire Water’s parent company paid an extra £600,000 to its CEO Nicola Shaw on top of her £732,000 fixed salary.
Critics have condemned the pay rises. Green Party MP Adrian Ramsay said the 'astronomical sums' show 'everything that is wrong with treating this essential public resource as a private commodity.' GMB union national officer Gary Carter accused firms of 'finding ways round the bonus ban' and called for a fundamental overhaul of the industry.
The revelations add pressure on mayor Andy Burnham, who has proposed moving Thames Water into temporary public ownership to tackle mismanagement and financial struggles.
