Thames Water pays new finance chief £1m to join

Thames Water has confirmed it awarded a £1

Thames Water has confirmed it awarded a £1 million signing-on bonus to its new finance director, Steve Buck, as part of an effort to lure him from a rival firm. The payment, which was disclosed in the company's annual report, is intended to compensate Buck for incentives he forfeited by leaving his previous employer.

The utility, which is grappling with a debt pile of over £15 billion and a regulatory crackdown over sewage discharges, has faced criticism for rewarding executives amid financial turmoil. The company's chief executive, Sarah Bentley, stepped down in June after less than two years in the role, and the firm is now led by an interim boss, Alistair Brew.

Buck, who previously served as finance director at energy supplier SSE, joined Thames Water in April. His package includes a basic salary of £650,000, a potential bonus of up to 100% of salary, and the one-off payment to offset lost long-term incentives from his prior role.

The company argued that the signing fee was

The company argued that the signing fee was necessary to attract a candidate of Buck's caliber and that his compensation was in line with market standards for a company of Thames Water's size. A spokesperson said the firm is committed to "responsible remuneration" and that the board takes into account the views of customers and shareholders.

However, the revelation has sparked fresh anger among consumer groups and politicians, who point to the company's poor environmental record and its plans to raise customer bills by up to 40% by 2030. A spokesperson for the consumer group Water UK said the payment "lacks sensitivity" and undermines trust in the sector.

Thames Water's troubles have intensified in recent months, with the company facing a potential temporary nationalization if it fails to secure new funding from investors. The firm is seeking to raise £2.5 billion in equity to stabilize its finances, and its future remains uncertain.

Buck's appointment is seen as a key part

Buck's appointment is seen as a key part of the company's efforts to restore investor confidence. His experience in the energy sector, where he helped manage the spin-off of SSE's retail division, is viewed as valuable for Thames Water's restructuring plans.

Despite the controversy, the company maintains that its leadership team remains focused on improving operational performance and addressing the challenges ahead. A spokesperson said: "Steve's appointment is part of our broader plan to strengthen the executive team and deliver the turnaround our customers and investors expect."