Thames Water Lenders Offer £10 Billion Rescue With Golden Share to Avert Nationalisation
Updated
Updated · bbc.co.uk · Jul 21
Thames Water Lenders Offer £10 Billion Rescue With Golden Share to Avert Nationalisation
3 articles · Updated · bbc.co.uk · Jul 21
Summary
L&VW lenders have sweetened their Thames Water rescue by offering the government a golden share and greater local-authority involvement, aiming to keep the utility out of public ownership.
The revised plan builds on a £10 billion proposal that would write off nearly half the company’s debt and add fresh cash, with sources saying hundreds of millions more have now been put in.
The government rejected the earlier June bid, saying it failed consumers and the environment, while Thames Water has warned it could run out of cash by November.
Creditors are also preparing a legal challenge if Andy Burnham’s new government nationalises the company, a move they say could leave taxpayers facing a multi-billion-pound debt bill.
Thames Water serves 16 million people across London and southern England and was fined a record £122.7 million last year over sewage spills and shareholder payouts.