What a drip-off

Thames Water calls for bumper bills hike... or we face bailing it out

SHAREHOLDERS of Britain’s biggest water company are being accused of trying to blackmail the watchdog into agreeing bumper price hikes.

Investors at crisis-hit Thames Water yesterday refused to stumpup a promised £500million, raising the possibility of the company being rescued by the taxpayer.

The sorry saga has triggered concerns about the financial health of other suppliers, given the sector is carrying £57billion of debt.

Thames, which owes £14.7bn, supplies one in four UK homes and has been slammed for its poor track record on pollution and service.

The company’s nine shareholders – which include the Chinese government – had pledged some £3.25bn towards £18bn of investment in its creaking network over the next five years.

However, the plans also involved households being hit with a 40% surge in prices and a plea to reduce fines.

Regulator Ofwat is due to give its initial response by May or June.

But shareholders claimed feedback did not look good and would leave Thames “uninvestible”.

As a result, they refused to hand over the initial £500million. Sources say investors wanted Ofwat to approve even steeper bill rises before they inject more money. Other insiders deny this.

Gary Carter, from the GMB union, said: “Thames Water investors are essentially blackmailing customers and Ofwat.

“Holding bill payers to ransom for costs after years of underinvestment is unacceptable.”

Thames was slammed for bumper boardroom pay and handed out a £37.5m dividend in October last year.

New £850,000-ayear boss Chris Weston insisted it has enough funds to see it through to May. But he added: “If we were in a situation where we had no equity, then there is the prospect of a special administration.”

Ofwat said: “Today’s update from Thames Water means the company must now pursue all options to seek further equity for the business to turn around the performance of the company.” Ofwat and Thames insisted services would not be hit, even if a taxpayer rescue is needed. Shadow Environment Secretary Steve Reed said: “The Government and regulators must do everything in their power to stabilise the company and ensure new investment comes through to fix the broken sewage system without taxpayers being left to foot the bill. “Labour will strengthen the regulator’s powers and make financial stability a priority to prevent this happening again.” Lib Dem Treasury spokeswoman Sarah Olney said: “Drastic action is needed to keep the taps running for customers.

“Executives have given billions to overseas investors whilst watching infrastructure crumble.”

In a joint statement, Thames’ shareholders said: “After more than a year of negotiations, Ofwat has not been prepared to provide regulatory support for a business plan which ultimately addresses the issues Thames Water faces.

“As a result, shareholders are not in a position to provide further funding to Thames Water.”

FICTION The Kellerby Code

by Jonny Sweet, hardback by Faber & Faber, £14.99 (ebook £9.99 How far would you go to fit in with a class of people where you don’t belong? Edward finds himself striving to fit in with his friends Robert and Stanza, even if it means running errands or even contemplating unthinkable acts on their behalf. As the plot unfolds, we delve deeper into Edward’s psyche, leaving us questioning the sanity of his actions and the sincerity of his friends. At the heart of this dark comedy is an exploration of social classes and the lengths one might go to in order to belong. A deeply unsettling, interesting novel that will leave readers gripped to the end.

Listen For The Lie by Amy Tintera, hardback by Bantam, £14.99 (ebook £5.99)

Listen For The Lie taps into our obsession with true crime podcasts, weaving them into a readable, modern whodunnit. At the centre is Lucy Chase, who’s thought to have murdered her best friend. She’s not formally convicted and moves away from her Texas hometown, flying under the radar until a podcaster digs up her story for his latest series. Lucy returns home and is forced to confront the ghosts of her past – her failed marriage, the strained relationship with her parents, and why she just can’t remember the night Savvy died.

Despite the presence of murder mystery cliches it’s a page-turner you’ll absolutely race through.

How To Solve Your Own Murder

by Kristen Perrin, hardback by Quercus, £16.99 (ebook £9.99) There’s an intriguing premise here that intertwines past and present seamlessly. Set in Dorset, 1965, the story follows Frances Adams, who spends her life preparing to solve her own murder predicted by a fortuneteller. The narrative then shifts to the present day with Frances’s great-niece, Annie, determined to uncover the truth behind Frances’s death. While the plot is engaging and suspenseful, the abundance of minor characters makes them feel undeveloped and challenging to track. However, Perrin’s skilful storytelling and atmospheric setting make for a compelling read, ultimately delivering a mystery with a twist.

NON-FICTION Head North: A Rallying Cry For A More Equal Britain

by Andy Burnham and

Steve Rotheram, hardback by Trapeze, £22

(ebook £12.99)

Metro mayors and football fans Andy Burnham and Steve Rotheram have written a book of two halves. The first focuses on their life stories, with Hillsborough a key experience and a reference point throughout their careers. It is readable and contains interesting anecdotes from the mayors of Greater Manchester and Liverpool City Region, but as both are still active politicians it feels at times guarded. The second half is more a manifesto for rewiring Britain and a compelling argument for regional devolution.

CHILDREN’S Thank You by Jarvis, hardback by Walker Books, £12.99 (no ebook)

Last year, Jarvis picked up the Oscar’s Book

Prize for The Boy With Flowers In His Hair. Thank You is his next offering, and it’s just as sweet and celebratory. It follows a child practicing gratitude – going round and thanking everything, from the sun and the moon to elephants and his sister. Jarvis has become known for his instantly recognisable collage art style, and it’s the centrepiece of this book. The eye-catching illustrations bring together bright colours and interesting patterns, which will no doubt delight children and adults alike. While it’s sweet, this is perhaps a book better suited to very small children.