Thames Water rescue deal at risk amid UK leadership uncertainty
Thames Water's investor-backed rescue plan is in danger as potential investors fear Andy Burnham, if he becomes Labour leader, would push to bring utilities back into public ownership. Creditors that provided £3bn in emergency funding last year now hold de facto control, are negotiating fines write-offs and seeking a regulatory holiday while shareholders have pulled back. If investors withdraw, the rescue deal would collapse, forcing special administration, bigger taxpayer costs or a move toward nationalization with major consequences for sewer upgrades, household bills and river pollution.
Private equity delays Thames Water bid, fears change in Prime Minister and possible nationalisation. TW is bankrupt, abuses people. Must be nationalised at knockdown price. Finance industry is using its financial power to influence political choice for the people.
Jen D9Yup; it’s bankrupt. They should invoke emergency powers to take it back into government control. No compo, no rewards back to shareholders. The public wouldn’t bat an eyelid.
Bilodea2Absolutely. And why do politicians keep saying it would be expensive to renationalize the water companies ? Just refuse to let them increase prices for underperformance & fine them properly for pollution. That should tip them over the edge into bankruptcy & they can then be renationalized for free.
Stevie2Is bankrupt the correct description? The company has been plundered by its shareholders.
