Future Of British Business
Thames Water’s Debt Woes Raise Specter of UK’s Energy Crisis
- Utility holds billions of debt as it faces talks on future
- Cost of nationalization would be passed to taxpayers
This article is for subscribers only.
The UK is facing a potential water sector crisis as it considers a temporary takeover of Thames Water Ltd, a rare move that was used for the first time during the recent energy crunch to protect customers of a failing supplier.
Possible intervention to rescue Thames Water recalls unprecedented action taken to prop up Bulb Energy Ltd., the government’s first special administration in November 2021. But England’s privatized water companies have historically relied on the public debt markets to fund their operations, making the plan for Thames Water potentially reverberate further.