Overview
- Thames Water reported on July 15 that it swung to a pre-tax profit of £226.4m for the year to March 31 while net debt climbed to about £19.77bn.
- The company says it has £515m in cash plus roughly £750m of backup funding and that this funding will only last into the fourth quarter unless lenders extend support.
- A reported £10bn rescue proposal from a consortium prompted alarm after Environment Secretary Emma Reynolds said the plan did not sufficiently protect customers or the environment, sending creditors back to the drawing board.
- Chief executive Chris Weston has asked the incoming prime minister for urgent policy clarity as Thames seeks short-term liquidity extensions to avoid the regulator using a Special Administration Regime to take temporary control.
- Operational failings and higher bills have worsened public anger: Thames met just 55% of regulatory targets, complaints rose sharply, pollution fines and executive pay have drawn ministerial criticism, and the outcome will shape wider debate over future ownership and regulation.