Displaying items by tag: financial stability

The Court of Appeal has dismissed challenges against a £3 billion rescue plan for Thames Water, allowing the utility to continue operating despite severe financial difficulties. The High Court had previously sanctioned the deal, which was designed to prevent the company from running out of money. However, a group of secondary creditors and Thames Water’s parent company appealed, arguing that the plan unfairly benefited senior lenders. MP Charlie Maynard also called for the company to be placed under special administration, to protect customers. The appeal was rejected, with judges ruling that the approved restructuring should stand. Thames Water serves 16 million customers and manages over 88,000 miles of water infrastructure. The deal is an interim measure, with a long-term financial restructuring expected later this year.