According to a report by the Financial Times on Friday, Thames Water may be required to restate its financial accounts for the year ended March 2024.
The FT said it had seen documents that suggested Thames is “trying to understand the consequences of having to restate key figures in its accounts for the year ending March 2024“.
The news came just one day after Environment Secretary, Steve Reed, told Parliament the government “stand ready for all eventualities“, including the idea of nationalisation “if that were to become necessary“. The government said it had “stepped up” preparations to place Thames Water into its special administration regime and said it would not agree to creditor demands for leniency in fines and legal protections.
Thames Water has around £20 billion in debt, with its senior bond prices at around 67‑70p, reflecting low investor confidence.
A consortium of over 100 senior creditors has proposed a £5 billion recapitalisation plan, but want to write off £6–7 bn of debt and receive regulatory relief to avoid future fines.
The Guardian reported it has seen documents from the lenders, asking regulators to block campaigners from launching any form of judicial review or civil litigation against Thames Water.
