summarised by The Centrist
The UK’s biggest water supplier, Thames Water, which provides water to 15 million people, is on the brink of financial collapse, reports citizen journalist Thomas Cranmer.
Thames Water owes £14 billion and is faced with the prospect of an incredibly expensive financial and operational restructure that will take years to complete.
They’re diverting income from their customers’ bills to meet interest payments.
Water ownership will likely be a major political debating point in the run-up to the next UK general election, says Cranmer.
New Zealand’s Three Waters reform programme is using the same “highly leveraged financing structure” as Thames Water.
Takeaway: Thames Water is a cautionary tale for New Zealanders. They have not delivered improved water quality or service for their customers. Instead, the UK government is now faced with the imminent collapse of its biggest water utility.
Are we setting ourselves up for the same debt-riddled fate?
feature image by Jim Linwood