Thames Water should be placed into temporary government control to avoid setting a “deeply troubling precedent”, according to people close to bondholders who face losing all of their money in the latest rescue bid.
The struggling utility is under the control of a group of lenders who hold the bulk of its huge £20bn debt pile. Those “senior” creditors on Tuesday revealed details of a last-ditch rescue effort with £5bn in funding, alongside writing off about £6.7bn in debt.
