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Thames Water refund to a closed bank account

Good morning all,

Looking for a little help and guidance!

I've been expecting a credit refund from Thames Water, approximately £318, originally when I got the notification of credit through it said to ring a specific number with my bank detail to handle the refund but then a couple of days later I received an email saying the money had been refunded to the card it had came from.

A few months prior to this, I closed my old student/graduate account with Natwest, not realising the money would go back to this account (I needed to pay the water bill through this account due to not yet being paid and this account having decent overdraft facilities).

My initial thoughts were that the money would just bounce back to Thames Water as the account was closed but after ringing Thames Water, they've said the money would be held within Natwest, some kind of holding account. I've contacted both parties and they're both telling me it's held with the other.

Has anyone experienced this before?

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