Properties along the coast from Skegness to Mablethorpe are reported to be experiencing low water pressure or no supply at all.
Anglian Water has apologised to customers and is currently attempting to resolve the problem.
In a statement, it said: “We apologise to customers in Skegness and Mablethorpe who currently have no water or low water pressure.
“We are working hard to determine the cause and to restore your supply as soon as possible.
“This message will be updated as soon as further information is available.
“Once again, we apologise for the inconvenience caused by this interruption in your service.”
Reports by @IngoldChapFans on Twitter suggest a burst water main on Sea Lane, Ingoldmells, as the cause of the problem.