Ofwat has approved funding for Thames Water's London Water Recycling scheme to continue and progress to gate four as a single solution, with its Teddington Direct River Abstraction (TDRA) project as the preferred sub option.

The Regulators' Alliance for Progressing Infrastructure Development (RAPID) approved Thames Water's Gate three report on the 9 July 2025.  

RAPID was formed to help progress the development of national water resources infrastructure that is in the best interests of water users and the environment. 

It is made up of the three water regulators including Ofwat, the Environment Agency and the Drinking Water Inspectorate. 

The gated process relates to the funding of investigations and development of water resource solutions.  

This funding approval follows the submission of Thames Water's  Gate three report on 10 December 2024 which was submitted for assessment. 

The London Water Recycling solution aims to protect the city's water security by providing a reliable, sustainable, and drought-resistant supply of water to support river flows in London.

It would do this by treating used water with advanced filtration techniques and discharging this purified water into the River Thames or the River Lee.

The purified water would be mixed with the existing river water, where it would then be abstracted as a raw water resource to supply water treatment works downstream.

There are three feasible sub-options which have been further developed since gate two. These include:

1. TDRA – up to 75 megalitres per day (Ml/d) of recycled water discharged into the River Thames at Teddington Weir, replacing the water abstracted upstream and sent via the Thames Lea Tunnel (TLT) to support North East London.

2. Mogden Water Recycling Scheme (Mogden WRS) – up to 150Ml/d of recycled water discharged into the River Thames at Walton.

3. Beckton Water Recycling Scheme (Beckton WRS) – up to 300Ml/d of recycled water conveyed by a tunnel into the River Lee diversion, for flow augmentation and abstraction to the Lee Valley Reservoirs supporting North East London.

As a result of the regional planning process, Ofwat has identified TDRA as a preferred sub-option to progress for early delivery.

Thames Water proposes that the London Water Recycling (LWR) solution is split into three solutions, explicitly TDRA, Beckton WRS and Mogden WRS.

According to Water Magazine: "Ofwat concluded that Teddington DRA is the preferred sub-option, with Beckton WRS being included as the best alternative sub-option. For that reason, only these two sub options continue to receive development funding into the 2025-30 period".

The magazine writes: "Ofwat stated that if Beckton or Mogden continues to be developed, the regulator would expect a gate three submission within the 2025-30 period.

"The additional allowances for completing gate four in the period 1 April 2025 to 31 March 2030 were determined as part of the Price Review 2024 (PR24) process. Ofwat determined that all expenditure for Teddington DRA of £22.60m is efficient and appropriate and has allowed it in full."

A Thames Water spokesperson told Nub News: "We're committed to securing future water supply for millions of Londoners, which includes progressing our proposed Teddington Direct River Abstraction project. 

"We welcome Ofwat's decision to approve the progression of our preferred London Water Recycling project to the next checkpoint. 

"This vital infrastructure will supply up to 75 million litres of water for London during times of drought. By using water recycling, the project will play a key role to help keep taps flowing for our customers, while protecting river levels and the environment. 

"This is an important step as we continue to progress our plans. We're currently over halfway through in a 10-week statutory consultation which runs period until 26 August 2025 and have welcomed hundreds of local people to our events.  

"There's still time to attend our events, which give people an opportunity to find out more about the project, meet the team and have their say, along with the opportunity to give their feedback."  

 Local people can attend Thames Water's online event tomorrow (Wednesday, 16 July) from 7pm - 8pm or its in person consultation at The Lensbury in Teddington on Thursday, 17 July from 2pm – 8pm.

Thames Water's final event  will run from 10am – 4pm on Saturday, 19 July at the Kingston Academy.  

You can find out more about Thames Water's consultations here.