MPs call for emergency legislation to place Thames Water under public control

A cross‑party group of MPs, backed by the Efra committee, has urged the government to introduce emergency legislation that would place Thames Water under public control. The legislators argue that the water utility’s £20 billion debt burden and its current governance by a consortium of roughly 100 hedge funds and distressed‑debt investors, many based in the United States, pose a risk to the stability of the company’s finances and to consumers. In a report released this week, the MPs called for ministers to terminate ongoing negotiations with the US hedge funds and to give the government authority to manage Thames Water’s financial affairs in order to stabilise the service.

The pressure is also mounting on Greater Manchester’s mayor, Andy Burnham, who has been tasked with overseeing the region’s water supply. The MPs’ appeal adds to calls for the prime minister to intervene directly and assume public ownership of the ailing utility. If enacted, the proposed emergency powers would enable the state to restructure the company’s debt and oversee its operations, aiming to protect customers and ensure the continuity of water services across the country.