Annual Report & Accounts

Summary of 2025/26 Annual Report & Accounts

Drought domination

2025/26 was dominated by a summer of drought. Despite the UK’s warmest and sunniest year on record and the driest spring since 1974, we were able to keep over 80% of the canal network fully open and operational. Colleagues and volunteers worked tirelessly to manage water supplies, keep boats afloat, and protect wildlife.

While prolonged dry conditions affected summer water supplies, the devastating breach on the Llangollen Canal at Whitchurch in December demonstrated the scale of challenges that an ageing canal infrastructure can bring. Working quickly in difficult conditions, teams were able to rescue stranded boats, secure the water supply around the breach site and start the rebuild which is now well underway.

The drought conditions experienced during 2025 have continued beyond the reporting period. Another drought in 2026 has meant the nation has now experienced its third major drought in five years, with waterways across England and Wales once again coming under significant pressure. Increasingly regular drought incidents reinforce the importance of canals not only as cherished heritage assets but as key infrastructure that, with investment, will help to improve the nation’s water resilience.

Improved infrastructure and large-scale maintenance

Despite the challenges caused by extreme weather, the report highlights a year of investment and progress across the network. We have completed more than £55 million of major infrastructure projects, spent around £29 million upgrading reservoirs, removed over 75,000 tonnes of material through dredging, and completed 137 large-scale winter maintenance projects.

We also continued our work to improve the experience of boaters, increasing investment in dredging, vegetation management, lock repairs and customer service facilities. We have now published, and are acting upon, the report and recommendations of an independent Commission which examined how waterways are used by boaters today.

Despite the operational challenges, the nation’s waterways remained hugely popular. An estimated 881 million visits were made to our waterways during the year.

Alongside this vital work, fundraising and public support continued to grow. Income from donations and legacies increased to a record £10.3 million, while the number of regular supporters rose to 38,355 and volunteers contributed a record 776,242 hours helping to care for the waterways.

Additional funding secured

During the year, we also secured important additional public funding to support the long-term future of the canal network. The Welsh Government announced it would contribute to increased costs of water supply for the Monmouthshire & Brecon Canal over the next five years, while Defra announced extra financial support of £6.5 million for projects to build long-term resilience across the network.

David Orr, our chair, said: “This was a challenging year for our waterways, with drought placing enormous pressure on canals, reservoirs, wildlife and the people who depend on them. I want to pay tribute to colleagues, volunteers and partners whose dedication ensured that, despite those challenges, the vast majority of our network remained open for people to enjoy.

“The challenges described in this report have continued into this year. Since the end of the reporting period, another exceptionally dry summer has meant the nation has now experienced its third major drought in five years. It underlines both the scale of the challenge we face and the growing importance of canals in supporting nature, communities and contributing uniquely to the country’s water resilience.

“Our task is not only to protect this remarkable inheritance, but to ensure it continues to deliver benefits for people, nature and water management for generations to come. I would like to take the opportunity to recognise the many thousands of individuals and organisations who have contributed through donations during the year.”

Campbell Robb, our chief executive, said: “This report reflects the incredible commitment of the people who care for our waterways. Despite drought, water shortages and the Llangollen Canal breach, colleagues and volunteers worked tirelessly to keep canals open, protect wildlife and support the millions of people who enjoy our waterways every year.

“The report highlights significant investment across the network, growing public support and additional funding from both the Welsh Government and Defra to help build long-term resilience.

“As extreme weather becomes more frequent and intense, our responsibility is to adapt, innovate and invest so that canals can continue to be enjoyed by boaters and local communities, as well as provide crucial corridors for nature, long into the future.”

Creating places for people and nature

Our busy waterways provide millions of people with access to outdoor space and nature, great for wellbeing and happiness.

Helping nature to thrive

Our canals and rivers provide green corridors in the heart of our busiest cities, linking fragmented wildlife habitats and supporting biodiversity.

Keeping history alive

We care for what is widely recognised as the third largest collection of listed heritage buildings and structures in England & Wales and our canals represent the finest example of industrial heritage in the world, attracting visitors from across the globe.

Generating income

We have continued to diversify our income streams to support the financial resilience of the Trust. Our trading and investment activities continued to make a significant contribution to our work, for waterway maintenance and repairs.