Thames Water ‘in crisis’ with rising debt and crumbling infrastructure

GMB London Region has reacted today to reports that Thames Water has secured approval for a £3 billion loan, which could incur as much as £800 million interest and other fees.[1]

This announcement comes at the same time as an investigation found that Thames Water has £23 billion of assets in urgent need of repair and the supply of water to its 16 million customers was at risk.[2]

Cliff Roney, Water worker and GMB Rep, said:

“It is unbelievable that Thames Water have been allowed to accumulate even more debt.

“Customers will inevitably pay for this new loan, through higher bills and the continuing neglect of vital infrastructure.

“Defra has described the company as ‘stable’, but it is anything but.[1] Thames Water is in crisis, with a mountain of debt and deteriorating pipes and reservoirs.

“Urgent action is needed to prevent further misery for customers.”

Notes

[1] Financial Times | Thames Water’s emergency loan could cost £800mn in interest and fees

[2] The Guardian | Thames Water supply ‘on knife-edge’ with £23bn repairs needed