Wokingham MP has labelled Thames Water as a ‘sinking ship’ after their deal worth billions fell through last week.
Responding to Thames Water’s announcement that their recapitalisation deal worth billions has fallen through, and the Environment Secretary’s comments that “Thames is a stable, ongoing company”, Wokingham Liberal Democrat MP Clive Jones said: “The Environment Secretary must be the only person in the country who doesn’t realise that Thames Water is a sinking ship. “They’re being dragged down by a £20 billion debt pile and the recapitalisation plan that was supposed to be their saving grace has collapsed, all while they continue to dump sewage into our rivers and waterways.
“The Government needs to bite the bullet, and put Thames Water into Special Administration, so its unsustainable debt can be written down and the interests of Thames Water’s 16 million customers can be protected. While Thames Water is being allowed to keep piling up more and more debt, customers are paying the price in massive interest payments. This is totally unfair.
“The creditors who have heaped billions in debt onto the company should now pay to sort this mess out. This can only be achieved through a well-planned administration process, followed by a swift exit – after which the company should go forward being mutually owned by its 16 million customers.”
