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Thames Water returns to profit after raising bills

Thames Water reported pre-tax profits of £226.4 million for the year to March 31, a marked improvement from the previous year's £1.65 billion loss. However, debt ballooned to nearly £20 billion.
The utility, which hiked bills by up to 40 per cent last year, faces urgent cash flow challenges as it draws down debt to fund capital investment. Without a funding deal, the company risks running out of cash within months.
Chief executive Chris Weston stated the business is performing better than two years ago, though he stressed the funding situation is "not sustainable." Thames Water said bills alone cannot fund required investment.
Industry regulator Ofwat reportedly neared acceptance of a £10 billion injection from consortium London & Valley Water, which proposed waiving sewage leak fines for four years. The deal aims to stave off temporary renationalisation.
Environment Secretary Emma Reynolds warned last month that current plans fail to adequately protect customers or the environment. Weston has requested urgent clarity from prime minister-in-waiting Andy Burnham regarding the sector's future.

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Thames Water shareholders desperate to keep hands on cash cow monopoly

Thames Water’s shareholders are panicking as the prospect of public ownership threatens to bring their gravy train to an end. The company is now sitting on £18.5 billion of debt, up from £16.8 billion a year ago. Instead of accepting responsibility for years of failure, the profiteers at the top are desperately trying to recapitalise […] By Maddison Wheeldon

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