WATER workers could take industrial action over pension changes.

Northumbrian Water says its current final salary pension scheme arrangements are not sustainable and it wants to find an affordable solution.

The GMB and Unite the Union are holding a “consultative ballot”, which union bosses say could lead for a formal ballot for industrial action.

The unions say reports suggest the Durham-based firm made £630m profit for owners Cheung Kong Infrastructure Holdings (CKI) over the last two years and managers have consistently failed to show the scheme is unaffordable.

GMB organiser Maxine Bartholomew said: “A product that falls from the sky naturally should not be abused in this way.”

Pat McCourt, from Unite, said: “What is happening is a scandal. While massive profits are being sent back to China, thousands of loyal workers in Northumbrian Water face poverty in their later years.”

Richard Warneford, from Northumbrian Water, said the costs of the final salary pension scheme had risen and deficits had increased with people living longer.

“We have shared the scheme’s financial position with the consultation group and trade unions and are working hard, through the consultation process, to find an affordable solution to keep the scheme open.

“We have a long history of good relations with our workforce, free from industrial action, and are mindful of the impact this would have on our people, our customers, the business and our reputation.

“We encourage our reps to keep talking to us to shape our final proposal," he said.

Consultation runs until Monday, August 31.