Moody's Ratings has placed the Baa3 backed and underlying senior secured ratings of Southern Water (Finance) I PLC (Southern Water) on review for downgrade following the publication on 11 July of Ofwat's Draft Deternination on the company's AMP8 Business Plan - previously, the outlook was stable.

Fitch Ratings is warning that some UK water companies will “find it challenging” to maintain their existing credit ratings for AMP8 - and those who fall to do so will be subject to a regulatory cash-lock up.

Moody's Investors Service says it expects Thames Water to get an AMP8 decision from water sector regulator Ofwat which will enable it to secure the future investment it needs from shareholders.

Ofwat has allowed Portsmouth Water to maintain one Issuer Credit Rating with a single credit ratings agency rather than two – only 10 days after the water company requested the change and less than three months after the licence requirement for two came into effect.

S&P Global Ratings has lowered its credit ratings on Northumbrian Water Limited (NWL) and parent holding company, Northumbrian Water Group Ltd. (NWG) to 'BBB' from 'BBB+', due to pressure on NWL's operating and financing costs due to rising inflation and heavier than anticipated capital expenditure (capex).

Fitch Ratings agency is warning that the UK water sector remains under pressure – factors that continue to weigh on the ratings include uncertainty around the Competition and Markets Authority appeals, operational delivery on total expenditure (totex) and outcome delivery incentives (ODIs) and pandemic-related bad debts.

Fitch Ratings has downgraded the credit ratings of Thames Water’s holding company Kemble Water Finance Ltd and revised its Issuer Default Rating to Negative, reflecting pressure on Kemble's and Thames Water’s financial profiles as a result of Ofwat’s challenging Final Determination on the company’s AMP7 business plan.

Moody's ratings agency has affirmed the Baa3 senior secured debt ratings of Southern Water Services (Finance) Ltd, whose issuance is guaranteed by Southern Water. The rating outlook is stable.

Fitch Ratings has downgraded Anglian Water Services Financing Plc's senior secured class A debt rating to 'A-' from 'A' and removed it from the Rating Watch Negative (RWN).

Fitch Ratings agency has has downgraded Wessex Water to 'BBB' from 'BBB+' and holding company Wessex Water Ltd's (WWL) Long-Term Rating to 'BBB-' from 'BBB' – the outlook is stable.