Thames Water lenders plan to appoint Lord Hutton as chair in rescue bid

Lenders to Thames Water have announced plans to appoint former business secretary Lord John Hutton as independent chair of the water supplier if their rescue bid is approved, according to lynnnews.co.uk.

The London & Valley Water consortium, which includes UK and US investment firms such as Elliott Management, Aberdeen Investments, and Apollo Global Management, selected Lord Hutton to oversee Thames Water’s 10-year turnaround programme.

The consortium also intends to appoint four new directors to the Thames Water board, including former Yorkshire Water CEO Liz Barber, Dame Bernadette Kelly, and Clive Selley, if their bid succeeds.

Prime Minister Andy Burnham has proposed a 10-year plan to renationalise the water industry, emphasizing public interest, but the government has previously expressed preference for a market-based solution for Thames Water, which serves around 16 million customers in London and the South East.

The Environment, Food and Rural Affairs Committee of MPs recently recommended rejecting the lenders’ takeover bid. Lord Hutton expressed commitment to improving Thames Water’s service standards for residents in London and the Thames Valley.