Thames Water - Update - 6th February 2025
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THAMES WATER - UPDATE
Dear member
Just before the Christmas break and on 22nd January 2025, GMB and other joint trade unions met with senior management to discuss Thames Waters finances, OFWAT's final determination and the future of the company.
There has been an ongoing dialogue with the company, and we have met with Government and had regular meetings with OFWAT.
GMB wants to see Thames Water on a stable and secure footing and we are extremely worried about short term loans at high interest rates placing even more debt on the company. Thames needs investors which are in it for the long term and want to invest in its assets, infrastructure and the workforce.
Following news that Covalis were interested in buying Thames, selling off the assets and splitting up the company, we were inundated with calls from members worried about their jobs, pay, and pensions. We do not want Thames to split up, it would not be in the best interests of our members or customers.
Since we last met with management the speculation about the future of Thames Water has intensified in the press and this will continue through and beyond the court hearing. Reports suggest some potential investors want Thames to go into Special Administration Regime (SAR) so the debt can be reduced. The Government has approached potential administrators as a contingency and the ratings agency Moody’s has further downgraded Thames debt rating.
Thames also has until 18th February to decide whether to appeal against OFWAT's final determination and go to the Competition and Markets Authority (CMA).
GMB will continue to talk to management and make representations to Government and OFWAT in the interests of our members, who deserve certainty and long-term job stability and good pay and conditions.
OFWAT is allowing bills to rise by 35% during the next AMP period, which will provide money for large scale investment. As part of this Thames will need to increase its workforce and retain skills if it is going to deliver on reducing leaks and stopping sewage spills.
GMB will be pressing Thames for more directly employees, improved training, and better rates of pay.
If you are not yet a member of GMB Union, you can join online at www.gmb.org.uk
In Solidarity
GARY CARTER
NATIONAL OFFICER