Bridal bucket is the best wedding gift
Re wedding lists (The toilet roll wedding list – is this the least romantic gift request ever?, 20 May), when my parents announced their engagement in 1951, one of my mother's sisters, then on a low wage, bought a bucket. Each week on payday, she added some household item to it – a scrubbing brush, a mop, a floor cloth, shoe polish and brushes, cleaning products. It was the most useful wedding gift they received, according to my mother. Cliodhna Dempsey Bereldange, Luxembourg
'We have created incentives to try to retain our most precious resource, which is our management team,' the chair of Thames Water is quoted as saying in your article (23 May). I would suggest their most precious resource is clean water. Their management is pretty inept if they don't realise people reckon their track record warrants no bonus. If anything, they should be paying fines for the leaks.Catherine DunnSt Andrews, Fife
I wholeheartedly agree with Lucy Mangan in her defence of the semicolon (Digested week, 23 May); however, I note with regret that she has not seen fit to use this valuable punctuation mark in her column.Paul CopasBrentwood, Essex
At school in the 1950s, we were told that, if in doubt, we should read a sentence aloud and if a pause sounded right with a count to one, a comma was required, two – a semicolon, and three – a colon. It seemed to work.Marilyn RowleyDidsbury, Manchester
Stand by for balaclavas becoming ubiquitous fashion wear (Live facial recognition cameras may become 'commonplace' as police use soars, 24 May).Colin Prower Chipping Norton, Oxfordshire
'Artificial intelligence to play increasing role in armed forces, says defence secretary' (20 May). Could this be one small step on the road to the dystopia envisioned by the Terminator franchise?Tony RimmerLytham St Annes, Lancashire
Have an opinion on anything you've read in the Guardian today? Please email us your letter and it will be considered for publication in our letters section.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Telegraph
16 hours ago
- Telegraph
Thames Water bonds plunge to record low as nationalisation threat grows
Thames Water's bonds have crashed to a record low after the Environment Secretary said it was stepping up contingency plans for the struggling utility giant. The price of Thames Water's debt fell to as low as 67p on Friday, down from 70p at the start of the month, as investors took flight amid fears the Government could nationalise the business. The market reaction was prompted largely by comments from Steve Reed last Thursday, who said that ministers were preparing to put Thames Water into a taxpayer-backed special administration regime. He said: 'The company remains financially stable, but we've stepped up our preparations and stand ready for all eventualities, as I've said before, including a special administration regime if that were to become necessary.' Falling bond prices signal that investors are also now bracing for the nationalisation of Thames Water, which remains on the brink despite a £17bn rescue proposal put forward by more than 100 of its most senior lenders. Talks are still ongoing over the potential bailout, although uncertainty is mounting after Mr Reed suggested the Government will not waive fines for Thames Water, which is one of the creditors' key demands. Pressures have also intensified after US private equity giant, KKR, unexpectedly abandoned its bid for the business earlier this month. Analysis of Thames Water's finances shows that a £250m bond due to mature in 2034 has been one of the hardest hit by the sell-off. Now valued at 67p, this is down from more than 80p two years ago. Falling bond prices in Britain's biggest water company will be a source of concern for the Government, which is seeking to attract global infrastructure investors as part of its bid to boost growth. Utilities are often deemed a safe haven by funds, therefore, the prospect of lenders incurring steep losses on Thames will be likely to damage investor appetite. There are huge numbers of creditors currently exposed to Thames Water, which has racked up a £16bn debt pile over the past decade, including a raft of different bonds. A special administration regime (SAR) would wipe out the bulk of Thames Water's borrowings, although it would also leave the Government forced to foot the bill for its running costs. A previous report estimated that an SAR could cost the taxpayer up to £4.1bn, piling further strain on the Government's stretched balance sheet. A report from JP Morgan last week said: 'Putting Thames into a SAR would be costly for the government and weaken its already tight fiscal position. 'Also, if Thames Water were nationalised, the Government would inherit all of the company's operational issues and be on the hook for any underperformance.' As well as billions of pounds in running costs, the creditors have calculated that Thames faces more than £1bn in fines and penalties over the coming years. However, despite the financial threat posed to investors and taxpayers, there are growing calls for the Government to nationalise Thames Water. Professor Dieter Helm, an economist and former government adviser, said last week that 'special administration will in the end most likely be necessary, and before 2029'. 'The Government and Ofwat made a major mistake at the outset in not calling in a special administrator,' he said. 'The leading bondholders have little practice experience in running a utility like Thames, and none has previous experience of a long-term major turnaround. 'They will no doubt have opportunities to take the money and run. All of this is likely before the next election, something that the Government should have in mind.'
The Guardian
21 hours ago
- The Guardian
Thames Water lenders demand government blocks campaigners from legal action
Lenders trying to take control of Thames Water are attempting to thwart environmental campaigners by asking the government to block them from pursuing high court claims. Creditors owed £13bn by Britain's biggest water company want ministers to order the Environment Agency (EA) to prioritise 'environmental betterment over punitive enforcement' – which they believe would 'significantly mitigate' the risk of campaigners bringing judicial reviews or private prosecutions. Feargal Sharkey, a prominent water campaigner and the former lead singer of the Undertones, said such a move would 'undermine one of the fundamental cornerstones of democracy' and urged the government to reject the demands. This month, the Guardian revealed the lenders had made a series of requests for leniency from fines and enforcement by the EA, Ofwat and other regulators as part of their pitch to buy and turn around the struggling company. Documents seen by the Guardian show a specific clause that is aimed at neutering the risk of campaigners bringing a judicial review or civil litigation. 'There is high risk of campaigners/environmental interest groups bringing judicial review proceedings against any decision by the EA to relax or defer compliance obligations or agree not to prosecute the company for breaches of law,' states the creditors' plan. 'There is also a strong possibility of those groups supporting individuals with bringing private prosecutions against the company and/or its directors and senior officers. 'The risk of such action and its outcomes, which are evidently highly prejudicial to the sustainable recovery of turnaround water companies, can be significantly mitigated by clear government direction to the EA and the EA setting out a clear framework for prioritising environmental betterment over punitive enforcement (the latter having little or no positive environmental benefit).' They also suggest the government could push through emergency legislation to block legal action. Thames Water's fate hangs in the balance after the environment secretary, Steve Reed, told parliament on Thursday that the government was stepping up preparations for temporary nationalisation and the US private equity firm KKR quit an auction for the company. The lenders argue protection from enforcement and legal action is vital so that cash does not leak out of the business and Thames can escape a 'doom loop' of underperformance. They are offering to cut some of the company's debts and provide £5.3bn of new funding in return. Should the government impose a special administration regime (SAR), essentially a temporary nationalisation, it would wipe out a significant portion of Thames's £20bn of debts. A band of about 100 creditors, including big institutional investors such as Aberdeen, BlackRock, Invesco and M&G, and US hedge funds such as Elliott Investment Management and Silver Point Capital, are trying to avoid huge losses by tabling their own turnaround plan for the company. The lenders also want Ofwat to reverse £254m in fines and penalties imposed on Thames over the past two years. These comprise two fines imposed in May – £104.5m for 'significant' sewage and wastewater failures and £18.2m for illegally paying dividends – and another £131.3m of tax losses that Thames transferred to its parent company, which Ofwat has said it will claw back. The Liberal Democrat MP for Witney in Oxfordshire, Charlie Maynard, has challenged Thames Water in the high court, including trying to block a £3bn high-interest rescue loan from the creditors. Maynard said: 'Thames Water's creditors are trying to dictate government policy and bully the regulators. Steve Reed must not cave in to these demands. The secretary of state should call their bluff. Sign up to Business Today Get set for the working day – we'll point you to all the business news and analysis you need every morning after newsletter promotion 'If the company ends up in special administration it is the vulture funds who stand to lose billions, Thames Water's 16 million customers will be released from a mountain of debt and the company will be better able to start fixing its problems.' Sharkey said: 'Not only has Thames polluted our rivers, ram-raided bill payers' bank accounts for cash, it is now attempting to undermine the very fundamentals of democracy: the right of free speech, to ask questions, to oppose and to demand justice. The government must stand up and oppose any attempt by Thames Water to railroad the British people. 'Being able to apply for a judicial review is one of the fundamental cornerstones of democracy. As a democracy, we are totally dependent on the ability of people to take the government and quangos to the high court to have that level of scrutiny from the judiciary. It's a balance and check against abuse of power.' A spokesperson for the creditors said: 'Broad regulatory support is needed to unlock a market-led solution for Thames Water that will secure billions of pounds in fresh investment for its ageing network, allowing a world-class leadership team to start the intensive turnaround and deliver better outcomes for customers and the environment.' A spokesperson for the Department for Environment, Food and Rural Affairs said: 'The government will always act in the national interest on these issues. 'Thames Water must meet its statutory and regulatory obligations to their customers and to the environment. It is only right that the company is subject to the same consequences as any other water company. 'The company remains financially stable, but the government has stepped up our preparations and stand ready for all eventualities, including special administration regime if that were to become necessary.' A spokesperson for Thames said: 'Thames Water is committed to improving outcomes for the environment and its customers. We are investing billions of pounds in our network and any recapitalisation of the business will need to ensure that is maintained for the benefit of all our stakeholders. 'Our focus remains on a holistic and fundamental recapitalisation, delivering a market-led solution, which includes targeting investment-grade credit ratings. In order to be investable, we and prospective investors would need to engage in discussions with our regulators.' A spokesperson for Ofwat said: 'We are assessing whether the plans are realistic, deliverable and will bring substantial benefits for customers and the environment.''
Times
2 days ago
- Times
Thames Water rescue plan could hand shares to staff
Thames Water employees could be given shares in the company before a potential return to the London stock market, under plans being drafted by its creditors to rescue the stricken utility. A group of about 100 financial institutions holding about £13 billion of Thames debt are the only contenders to take over the company and stop it sliding into special administration, under which it would be controlled by the government. The creditors have drawn up proposals to pump fresh money into the company — which they have submitted to Ofwat, the industry regulator, for approval. Documents seen by The Sunday Times suggest that the creditors will eventually seek an initial public offering (IPO) of Thames to secure their exit from the firm, 'exploring options to allow the local communities the company serves and the employees to financially benefit from the turnaround of the business'. Sources close to the creditor group suggested this could take the form of an allocation of shares to an employee benefit trust that could be cashed in if the business floats, with the hope that this would encourage staff to stay. But no IPO would come before 2033 under the plans. There are precedents for giving shares to staff, including the privatisation of Royal Mail, which allocated 10 per cent of shares to its workers when it listed in 2013. The creditors would also look at setting up community trusts that would be awarded shares to fund environmental work in areas served by Thames. However, the prospects of any IPO rest on the creditors first agreeing a deal with Ofwat to take control of the company and then pulling off a turnaround. The creditor group has completed weeks of due diligence on Thames, and told Ofwat in its submission that the state of the company's assets was 'worse than expected with significant asset risk'. The group insists that it can turn around Thames with an injection of at least £5 billion of new funding. However much will depend on whether the creditors can win concessions from Ofwat on fines imposed on Thames because of its poor performance around sewage spills, for example. The regulator is under pressure to hold the line on fines and last week Steve Reed, the environment secretary, said the government was 'stepping up' plans for an emergency nationalisation. Reed's claims were disputed by Whitehall sources, who said there had been no increase in contingency planning before a possible bankruptcy. 'Frankly, there's got to be pain to take all round,' said a senior source with knowledge of the talks between the creditors and Ofwat. 'We hope pragmatism will prevail at the end of the day. We all need to give something to get something.' The creditor group believes it needs to reach an agreement with the regulator by the end of July. After this point, special administration may grow more likely. Thames has until July 22 to decide whether it will appeal against its latest five-year pricing settlement with Ofwat at the Competition & Markets Authority. Thames serves 16 million households in southeast England.
