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A water firm has banned tanker companies from delivering its water to an American billionaire’s lake during the drought season nearby.

Despite a local domestic hosepipe ban in place in Hampshire, water from there was legally transported to fill the lake at Stephen Schwarzman’s property in neighbouring Wiltshire.

Local residents have spotted and filmed multiple water tankers filling up from standpipes in Hampshire, where a drought order is in place, the BBC reported.

Those tankers were then taken to Conholt Park, a 2,500-acre estate owned by Stephen Schwarzman, the CEO of asset management company Blackstone.

Stephen Schwarzman, the CEO of Blackstone, s thought to have a net worth of more than £30bn

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Stephen Schwarzman, the CEO of Blackstone, s thought to have a net worth of more than £30bn (Getty)

Mr Schwarzman, who is thought to have a net worth of more than £30bn, is one of the world’s richest men and a financial backer of US president Donald Trump.

He has been renovating the 17th-century shooting estate, worth approximately £80m, ever since he bought it in 2022. This extensive project includes the redevelopment and construction of a new lake.

The exact amount of water which has been taken is unclear because multiple users have access to the standpipes, but Southern Water noted there was a “significant” spike within the last week. But a spokesperson for Mr Schwarzman estimated this equates to “approximately 8 to 9 per cent of all of the water transported to the estate in recent weeks”.

The operation was legally able to bypass drought restrictions in Hampshire under licence, because the construction work is not domestic and therefore not accountable to a hosepipe ban.

However, Southern Water said it took immediate action to investigate and banned tankers from using water from these standpipes.

Managing director for water Tim McMahon added: “I’m appalled by this use of water, as I’m sure many of our Hampshire customers will be.”

Southern Water imposed a temporary use ban on its customers in Hampshire and the Isle of Wight in July

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Southern Water imposed a temporary use ban on its customers in Hampshire and the Isle of Wight in July (Alamy/PA)

The water firm wants to reassure its over 2 million customers that it is having “robust conversations” with companies using this water, and is conducting a “thorough review” into how they can “tighten up any legal loopholes” so this “cannot happen again”.

Blackstone told The Independent that any suggestion the owners violated local water regulations would be “false and misleading”, and said Southern Water representatives had confirmed the tankers were operating entirely within the law.

A spokesperson added: “The new owners of Conholt Park are committed to the restoration and preservation of a landmark estate of national heritage importance. Every aspect of the project is advancing with the highest regard to local laws and planning regulations. This applies to the lake and sophisticated rainwater collection system that aggregates runoff from the main house, outbuildings, and nearby paved areas.

“For the majority of the construction period, until approximately the last three weeks, water purchased and transported to the site by tankers was used principally to support the building works and associated personnel.

“Most recently, as construction winds down (expected to be completed very soon), a proportion of transported water has been used in connection with irrigation and the lake. The water has been sourced through licensed providers responsible for the lawful and proper extraction and delivery. Water has been sourced from multiple locations, largely outside the region. Following yesterday’s request from Southern Water that water is not directed to the lake, the estate has readjusted the supply of water accordingly.”

Southern Water put a hosepipe ban in place on 21 July this year in Hampshire and on the Isle of Wight, after reservoir levels fell during the driest start to the year since 1976 in England.

Almost a million of its customers in southern England are affected by the new restrictions.