The chief executive of Thames Water has refused to rule out bill increases of up to 40% for customers as the troubled company tries to secure its future.
It comes as the business, which serves nearly a quarter of the UK’s population, struggles with more than £15bn of debt and the huge interest payments required to service it.
When asked by Sky News’ Ian King if bills could be hiked to fill the gap, Thames Water chief executive Chris Weston replied: “I don’t think we have been at all secretive about that.
“But the plans that we have put forward – which are very much in accordance with what customers are asking us to do – require an investment of around £20bn in that 2025-2030 period, and that would result in a bill (increase) of around 40%.”
Mr Weston added: “It is very clear listening to our customers that what they value most is high-quality clean drinking water and that we do all that we can to protect the environment.
“Those two things are primarily what is driving the investment that we are having to make in our network in that five-year period.”
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The rise in bills would – if approved – come at a time when the cost of living is still rising, albeit at a slower rate than in recent months.
Mr Weston said he recognised any increase in bills “could be very, very difficult for people”, adding that the company was looking at what could be done to help the most vulnerable.
Earlier on Thursday, nine shareholders turned their anger on water company regulator Ofwat for the company’s cash crisis.
They said it had “not been prepared to provide the necessary regulatory support for a business plan which ultimately addresses the issues that Thames Water faces.
“As a result, shareholders are not in a position to provide further funding to Thames Water.”
As well as the rise in bills, Thames Water had been seeking an easing of capital spending requirements and leniency on forthcoming penalties.
Thames Water has come under intense pressure in recent years because of its poor record on leaks, sewage contamination, executive pay and shareholder dividends.
It is facing multiple fines and regulatory investigations, including into the payment of dividends to Kemble Water, its parent company.
Ofwat said: “Today’s update from Thames Water means the company must now pursue all options to seek further equity for the business to turn around the performance of the company for customers.”
In total, tens of billions of pounds have been handed to shareholders in water utilities across Britain since privatisation, stoking public and political anger given the industry’s frequent mismanagement.
Scotland’s First Minister Humza Yousaf claims a Holyrood election could be called as he refuses to say if he will resign if he loses a looming vote of no confidence.
Speaking exclusively to Sky News in Fife on Saturday, the SNP leader said it was “really disappointing” to learn the Greens will refuse to enter further talks to change their minds on voting against him in a ballot which could prove fatal for his leadership.
Mr Yousaf has today written to all the opposition parties, including Alex Salmond’s Alba party, at Holyrood urging them to rethink their plot to oust him.
The SNP leader said on Saturday that he was leaving it to his rivals to determine his fate.
A Green Party source said the only letter they will accept from the first minister is his resignation.
Mr Yousaf told Sky News: “Well let me say again, that would be really disappointing if that is the Greens’ position.
“As I say, I’ve reached out to them, they are saying publicly that they’re going to support a Conservative motion against independence, first minister and independence government.
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“That would be, I think, a poor choice to make.”
Asked if there might be a Scottish election if he doesn’t win the vote, Mr Yousaf replied: “Can’t rule it out.”
Sky News understands Alba is holding an emergency meeting this weekend to determine how it will cast the key vote.
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2:22
Yousaf to ‘fight’ no confidence vote
When asked how SNP members would feel about being “propped up” by Mr Salmond, Mr Yousaf said: “Let me make it really, really clear, I’ll be sending out to anybody I meet with, whoever comes round that table, that these are the priorities of the SNP minority government.
“This is what we’ll be pursuing, this is what we’ll be pushing. It’ll then be up to be it Ash Regan, be it Lorna Slater, be it Patrick Harvie or any of them, to decide what button they push when it comes to the vote of no confidence.”
A Jewish campaign group has cancelled today’s Walk Together demonstration amid safety concerns, as the Met Police says the risk of disorder from a pro-Palestinian march is not high enough to seek a ban.
Thousands had been expected to attend the event in central London as part of the Campaign Against Antisemitism (CAA) event, which would have coincided with today’s pro-Palestinian march.
The CAA said it cancelled the event, where people would have walked “where they please”, after receiving “numerous threats” and identifying “hostile actors (who) seem to have intended to come to any meeting locations that we announced”.
It added: “The risk to the safety of those who wished to walk openly as Jews in London… as part of this initiative has therefore become too great.
“We are no less angry about these marches than our Jewish community and its allies. We want to walk.”
The CAA said it had suggested “concrete measures” to government aimed at changing how the pro-Palestinian protests are policed.
It highlighted concerns over antisemitic chants, inflammatory placards, and instances of glorifying terrorism, as well as incidents of violence, including attacks on police officers.
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“Police have told us that they intend to handle the march no differently from the passive way that they have become accustomed to over the course of more than six months,” the group added.
But the Met’s assistant commissioner, Matt Twist, said the force aimed to police “without fear or favour”, adding that the impact of the weekly pro-Palestinian protests was “felt widely” but had been a “particular cause of fear and uncertainty in Jewish communities”.
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Mr Twist added that pro-Palestinian protests had “never” reached the threshold where it was a “risk of serious public disorder”.
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13:02
Extended video of ‘openly Jewish’ row
He said: “The only legal route to ban a march is if there is a risk of serious public disorder – that is rioting or serious violence that could not be dealt with by other restrictions or conditions.
“We have never got close to that threshold on these Palestinian Solidarity Campaign (PSC) marches to date.”
The CAA had announced its Walk Together after its chief executive, Gideon Falter, was prevented from crossing a road near a pro-Palestinian protest by a police officer last week because he was “openly Jewish”.
Footage showed a tense, lengthy stand-off between police and Mr Falter as one Met officer described his presence as “antagonising”.
The campaigner then spoke to another officer who said if he remained in the area, he would be arrested.
After the incident, Mr Falter was critical of the Metand said there were “no-go zones for Jews”, while Scotland Yard apologised twice for the officer’s choice of words.
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0:39
Standoff between protesters in London
The PSC protest today, which organisers claim could attract “hundreds of thousands” of protesters, will take place on a pre-agreed route.
Simultaneously, a separate demonstration arranged by the pro-Israel Enough is Enough group will go ahead following a route parallel to the PSC march.
The Met Police said 450 arrests have been made since the pro-Palestinian marches began, with 193 of those being for antisemitic offences, the majority involving placards, chanting or expressions of hate speech.
The cost of policing the protests stands at approximately £38.5m, the Met added.
The King’s constitutional work has continued, but the public outings were stopped.
His family has stepped up to support him, and protocols were in place should the need arise.
But it has been an incredibly challenging time for the House of Windsor.
News of the Princess of Wales’s cancer diagnosis a double blow for the family.
There remains a lot of uncertainty; the King won’t return to full duties, and his engagements will be adapted to reduce the risk while he recovers. There’s also no confirmation yet about the big set piece events like Trooping the Colour or an overseas state visit.
But this is a significant moment. And the King’s return to public work will start with a personally poignant visit, as he and the Queen meet patients and staff at a cancer treatment centre.