Daily Mail

Grid bosses ‘seek foreign haven’


NAtiONAL Grid is considerin­g setting up sub- divisions abroad to protect itself from Labour’s threat to nationalis­e utility firms.

Lawyers are advising the gas and electricit­y network owner how it can protect shareholde­rs from Jeremy Corbyn’s plan to return parts of Britain’s privatelyr­un infrastruc­ture to Government control, including water, electricit­y and rail. Labour’s proposal undervalue­s the industries it targets, offering to pay less than £15bn to investors to renational­ise the water industry, for example.

Studies estimate shareholde­rs would need £44bn to be fairly compensate­d.

if a firm sets up a unit abroad in, say, Singapore, investors would be paid fully if it ended up in Government hands.

Labour claims privatisat­ion has led to under-investment and failing services.

National Grid was formed when electricit­y went private in 1990, and is now a FtSE 100 firm worth £29bn. it told the Sunday times: ‘We are taking legal advice to explore the best route to protect shareholde­r value.’

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