UK PM Keir Starmer vows to 'go further' on water companies regulation
UK Prime Minister Keir Starmer has vowed to ‘go further’ on regulating the water industry.
He made his pledge in response to Liberal Democrat leader Ed Davey, who alleged a new buyer for Thames Water might be able to ‘repeat the same trick of putting up bills and dumping raw sewage at the same time’.
At Prime Minister’s Questions, Davey referred to New York-based private equity firm Kohlberg Kravis Roberts, KKR, a minority shareholder in Northumbrian Water that has been named Thames Water’s preferred bidder for a stake in the company.
Thames Water said at the end of last month there was ‘no certainty’ over a deal, adding: ‘The company is pleased to announce that, following a detailed assessment of proposals received, it has taken a further step in its plan to deliver a sustainable recapitalisation by selecting KKR to enter the Phase 2 diligence stage of the equity process as preferred partner.
‘The company remains focused on putting Thames Water on a more stable financial foundation, implementing its turnaround plan and delivering a market-led solution that is in the best interests of customers, UK taxpayers and the wider economy.’
Davey claimed that since KKR had bought into Northumbrian Water, ‘people across the North East have seen their water bills soar whilst in the last year alone, Northumbrian Water has dumped nearly one million tonnes of raw sewage into Durham’s Whitburn Coast conservation area’.
He told the Commons: ‘KKR are now poised to buy into Thames Water because ministers have ruled out a special administration regime.
‘Can the prime minister guarantee that Thames Water will not be allowed to repeat the same trick of putting up bills and dumping raw sewage at the same time?’
Pointing to Conservative MPs, Davey added: ‘They allowed it, he shouldn’t.’
Prime Minister Starmer replied that the Lib Dem leader was ‘right to point out the appalling record on water of the party opposite’.
He added: ‘I’m really pleased that we’ve passed the Water (Special Measures) Act already to take the necessary measures but we will go further.’
KKR and Northumbrian Water have been contacted for comment.
By Will Durrant, PA Political Staff
Press Association: News
source: PA
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