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Thames Water has pledged to raise new capital and has asked financial regulator Ofwat to agree a business plan that will make the company “investable”.
The company, which provides water and sewerage services to around 16 million homes, has been fighting for the past year to prevent bankruptcy and temporary nationalisation.
Reporting annual results on Tuesday, chief executive Chris Weston said the company continued to believe that “market-led solutions that enhance financial resilience are in the best interests of all stakeholders, but this is dependent on securing a final regulatory decision that is feasible, fundable and investable, and affordable for customers.”
Thames Water is seeking permission from Ofwat to increase average household tariffs by 59% between 2025 and 2030 as part of its five-year business plan. The regulator is due to give its first ruling on the plans on Thursday.
Thames Water's woes have been compounded as it struggles to repay debts, absorb rising costs and implement plans to repair years of underinvestment in its ageing infrastructure.
The company said it had liquidity of 1.8 billion pounds, enough to cover its operations for the 11 months to the end of May 2025.
This is a developing story.
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