Large parts of SE London have been "inconvenienced" by Thames Water works since early 2022, however it's worth noting that the works are frequently undertaken by third party contractors, those that dig up and re-instate roads and pavements. Thames Water only deal with the repairs to the pipework and I guess it is likely that contactors may also do some of those actions.
SE23 has experienced a larger number of instantices where Thames Water have had to take remedial actions to fix and restore the water supply, the most recent occasion in memory being under the railway bridge over the S.Circular just before Waldram Park. Due to the clay around here SE23 is more susceptible to water outages.
You said "Local Authorities such as Lewisham Council just hand out highway permits like confetti willy nilly" can you evidence that statement??
I'd suggest contacting Thames Water, raising your concerns with them and see what explanations they provide and if dissatisfied with the response escalating it with Thames Water, they have an excellent complaints department who investigate and respond appropriately.
Perhaps, council officers should be out more checking that permits are being used appropriately and works are being undertaken????
In terms of withholding your bill payment, sure you'll eventually get a court summons but also a visit from the bailiffs, is it really worth the aggro, probably NOT.
In terms of the councillors, they perform their roles alongside, I suspect holding down 9-5 jobs to make a living. IMO I think it is unfair to criticise the councillors as all they are able to do is highlight issues to the council officers who effectively through their roles run the council on a daily basis, plus the staff on the ground who actually do the things which keep the council doing what they do every day.
I totally sympathise with you about the delays you experienced, however once the works are done Thames Water will move onto their next job wherever that maybe. The amount of traffic at certain times of the day unfortunately cannot be averted and also contribute to the delays.