Thames Water creditors accused of ‘shuffling deckchairs’ with plan for new board
Campaigners say proposal for £10bn rescue deal in bid to avoid nationalisation is a ‘cosy stitch-up’Business live – latest updatesThe group of creditors pursuing a rescue bid for T
By The Guardian
Thames Water’s senior creditors have proposed a new board as part of their rescue plan for the troubled utility, according to the source report. The group says the overhaul is intended to support its bid to take formal control of the company and avoid temporary nationalisation.
The creditors’ consortium, London & Valley Water, said it would appoint Liz Barber, the former chief executive of Yorkshire Water, and Clive Selley, the former chief executive of Openreach, as directors if its plan is approved. It has also lined up Dame Bernadette Kelly, the former permanent secretary at the Department for Transport.
Mike McTighe, described in the report as the corporate troubleshooter leading Thames’s overhaul, would become chair if the £10bn rescue deal is approved. He is currently chair of Openreach.
London & Valley Water is made up of around 100 institutional investors holding £17bn of Thames Water’s £21bn debt, the report said. The consortium is seeking approval for its rescue plan as Thames Water remains under pressure over its finances.