We collect cookies to analyze our website traffic and performance; we never collect any personal data.Cookies Policy
Accept
Michigan Post
Search
  • Home
  • Trending
  • Michigan
  • World
  • Politics
  • Top Story
  • Business
    • Business
    • Economics
    • Real Estate
    • Startups
    • Autos
    • Crypto & Web 3
  • Tech
  • Lifestyle
    • Lifestyle
    • Food
    • Beauty
    • Art & Books
  • Health
  • Sports
  • Entertainment
  • Education
Reading: Ofwat to call LEK Consulting as Thames Water ‘policeman’
Share
Font ResizerAa
Michigan PostMichigan Post
Search
  • Home
  • Trending
  • Michigan
  • World
  • Politics
  • Top Story
  • Business
    • Business
    • Economics
    • Real Estate
    • Startups
    • Autos
    • Crypto & Web 3
  • Tech
  • Lifestyle
    • Lifestyle
    • Food
    • Beauty
    • Art & Books
  • Health
  • Sports
  • Entertainment
  • Education
© 2024 | The Michigan Post | All Rights Reserved.
Michigan Post > Blog > Business > Ofwat to call LEK Consulting as Thames Water ‘policeman’
Business

Ofwat to call LEK Consulting as Thames Water ‘policeman’

By Editorial Board Published October 15, 2024 4 Min Read
Share
Ofwat to call LEK Consulting as Thames Water ‘policeman’

Scrutiny of Thames Water, the crisis-hit utility, will intensify this week when the business regulator appoints LEK Consulting as an unbiased monitor of the corporate.

Scrutiny of Thames Water, the crisis-hit utility, will intensify this week when the business regulator appoints LEK Consulting as an unbiased monitor of the corporate.

The transfer was triggered in August when Thames Water misplaced two funding grade credit score rankings, which compromised one of many situations it should fulfil with the intention to keep its working licence.

The rankings downgrades had been triggered by rising expectations that the corporate will have to be nationalised within the coming months amid a battle to lift new capital from personal traders.

The syndicate is racing to discover a resolution that may permit a restructuring that may incorporate a large debt-for-equity swap and see contemporary fairness injected into the crisis-hit utility, which serves about 15m prospects in London and the south-east.

A deal must be agreed by the center of November as a result of Ofwat is because of log out its last regulatory willpower for the corporate’s marketing strategy at a board assembly within the second half of the month.

Collectors argue that Ofwat must display flexibility in its consideration of Thames Water’s marketing strategy with the intention to make the corporate investible.

Additional particulars of the creditor group’s proposals are unclear, though flexibility in relation to buyer invoice will increase will inevitably be a part.

Thames Water can be going through a litany of regulatory fines over its poor customer support efficiency and dire document on sewage and water leaks.

Plans for an emergency liquidity facility of greater than £1bn are additionally being drawn up, though they’re but to be finalised.

That finalising would purchase Thames Water a number of months extra to finalise a rescue plan.

In August, David Black, Ofwat’s chief govt, stated: “We are clear that Thames Water needs to remedy its licence breach, turnaround its operational performance and secure backing from investors to restore its loss of investment grade credit rating.

“These enforceable commitments will embrace our placing an unbiased Monitor into the enterprise, to report again to us on what is occurring to drive significant change in efficiency, and to make sure applicable experience is added to their board.

“We will continue to monitor progress very closely and will not hesitate to take any further action if necessary.”

Bankers at Rothschild have been making an attempt to drum up funding in new Thames Water inventory in latest months, however with little success amid a scarcity of visibility in regards to the firm’s survival prospects.

Its future stays so shrouded in uncertainty as a result of the business watchdog, Ofwat, has rejected the corporate’s preliminary spending plans for the subsequent five-year regulatory interval.

If new funding into Thames Water isn’t forthcoming earlier than it runs out of money, the federal government can have little selection however to sanction the non permanent nationalisation of the corporate.

This may be carried out by a Particular Administration Regime (SAR), a process examined solely as soon as earlier than when Bulb Power collapsed in 2021.

As a part of its contingency planning for implementing a far-reaching restructuring, Thames Water has booked court docket dates in November to progress a rescue deal.

Shareholders have lengthy since written off their funding within the firm and won’t play a job in any rescue deal.

Ofwat and Thames Water declined to remark.

TAGGED:ConsultingLEKOfwatpolicemanThamesWater
Share This Article
Facebook Twitter Email Copy Link Print

HOT NEWS

Kyren Williams-Blake Corum 1-2 punch spearheading Rams’ dashing resurgence

Kyren Williams-Blake Corum 1-2 punch spearheading Rams’ dashing resurgence

Sports
September 27, 2025
12 Inspiring Books That Are Quick Sufficient to Learn in One Sitting

12 Inspiring Books That Are Quick Sufficient to Learn in One Sitting

We might obtain a portion of gross sales if you are going to buy a…

September 27, 2025
Gustavo Petro: US revokes Colombian president’s visa after he urges troops to disobey Donald Trump’s orders

Gustavo Petro: US revokes Colombian president’s visa after he urges troops to disobey Donald Trump’s orders

The US has stated it is going to cancel the visa of the President of…

September 27, 2025
Power group Ovo plots sale of stake in software program arm Kaluza

Power group Ovo plots sale of stake in software program arm Kaluza

The vitality provider Ovo is plotting the sale of a stake in its software program…

September 27, 2025
Tyran Stokes an enormous hit, and goal, in Notre Dame’s defeat of Culver Metropolis

Tyran Stokes an enormous hit, and goal, in Notre Dame’s defeat of Culver Metropolis

He stood taller than some other participant on the sector. His wingspan doubtless stretches far…

September 27, 2025

YOU MAY ALSO LIKE

Harrods clients’ particulars stolen in IT programs breach

Harrods has warned its e-commerce clients that their private information might have been taken in an IT programs breach.Info like…

Business
September 27, 2025

Vitality provider Ovo admits non-compliance with Ofgem capital regime

Ovo has turn out to be the newest main vitality provider to reveal its failure to satisfy new capital adequacy…

Business
September 26, 2025

NatWest boss continues management overhaul as working chief leaves

The chief government of NatWest Group is continuous his overhaul of the financial institution’s management months after it returned to…

Business
September 26, 2025

Eden Undertaking losses double as customer numbers fall and jobs go

Cornwall's Eden Undertaking has revealed a doubling of losses and dwindling customer numbers - because it additionally lower dozens of…

Business
September 26, 2025

Welcome to Michigan Post, an esteemed publication of the Enspirers News Group. As a beacon of excellence in journalism, Michigan Post is committed to delivering unfiltered and comprehensive news coverage on World News, Politics, Business, Tech, and beyond.

Company

  • About Us
  • Newsroom Policies & Standards
  • Diversity & Inclusion
  • Careers
  • Media & Community Relations
  • Accessibility Statement

Contact Us

  • Contact Us
  • Contact Customer Care
  • Advertise
  • Licensing & Syndication
  • Request a Correction
  • Contact the Newsroom
  • Send a News Tip
  • Report a Vulnerability

Term of Use

  • Digital Products Terms of Sale
  • Terms of Service
  • Privacy Policy
  • Cookie Settings
  • Submissions & Discussion Policy
  • RSS Terms of Service
  • Ad Choices

© 2024 | The Michigan Post | All Rights Reserved

Welcome Back!

Sign in to your account

Lost your password?