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The UK’s biggest water company looks like it could sink

The UK’s Biggest Water Company Is Having Liquidity Issues

***Zooming out:*** *Water safety.*

The current plight of UK water companies aside, utility firms can actually serve as pretty reliable safe harbors in troubled times. They’re steady Eddies, after all – providing essential services, churning out predictable income, and usually paying steady dividends. So while they might not make a big splash with returns, they’re *usually* a good bet when things get choppy.



**Why should I care?**

***The bigger picture:*** *Davy Jones’s ledger.*

Thames Water’s problems aren’t just a drop in the ocean. They’re part of a tidal wave that could hit the whole sector. You see, Thames Water may be the most indebted, but it’s not the only one struggling to stay afloat: UK water companies are collectively sinking under nearly $80 billion in debt. And in a world of low interest rates, they might have been able to tread water – but with rates on the rise, they’re having a hard time. So, given the importance of water supply, and the fact that Thames Water’s collapse could pull other water companies down too, it’s no wonder the government's prepping to buoy things up.



**What’s going on here?**

The UK’s biggest water company might be [going](https://www.bnnbloomberg.ca/thames-water-s-debt-woes-raise-specter-of-uk-s-energy-crisis-1.1938992) – ahem – under water.

**What does this mean?**

Thames Water is two years into an ambitious eight-year plan to plug leakages and reduce nasty sewage outflows into rivers. But instead of a pat on the back, it’s facing a report card showing that leakage rates are the highest in five years. And as if that’s not enough, Thames Water is already struggling with a whopping $17 billion debt pile. Add on the firm’s CEO deciding to call it quits this week, and that only added to worries about Thames Water’s financial stability, sending the price of one of its bonds to the lowest level ever. That panic’s got the UK government stepping in now too, holding emergency talks to discuss options – including temporarily nationalizing the business.



News Story

encryptedEmail

planSlug

slugOrId

ContentPieceQuery

viewer

authorization

content

SingleContentPiece_viewer

webSubscriptions

contentPiece

mostPopularTags

features

query ContentPieceQuery(
  $slugOrId: String
  $encryptedEmail: String
  $planSlug: String
) {
  viewer {
    authorization {
      roles {
        isAnonymous
      }
      ...SingleContentPiece_authorization
    }
    ...SingleContentPiece_viewer_4uP6yi
    content(encryptedEmail: $encryptedEmail) {
      ...SingleContentPiece_content
      contentPiece(slugOrId: $slugOrId) {
        __typename
        ...SingleContentPiece_contentPiece
        canonicalLink
        id
      }
    }
    id
  }
}

fragment AccessibleImage_accessibleImage on AccessibleURLImage {
  full
  altText
}

fragment AdvertWrapper_activeProductAdvert on ProductAdvert {
  id
  advertHandle
  destinationUrl
  sponsoringCompany {
    name
    id
  }
}

fragment AnonymousPaywall_viewer_2HyoJ4 on Viewer {
  webSubscriptions {
    defaultWebPlan {
      ...PremiumAccountPromotionPanel_webPaymentPlan_2HyoJ4
    }
  }
}

fragment AudioOnlyBanner_contentPiece on ContentPieceInterface {
  __isContentPieceInterface: __typename
  headerImage {
    ...ServerImage_image
  }
  title
}

fragment AuthorLinkWrapper_author on Author {
  slug
  isActive
}

fragment Avatar_image on URLImage {
  original
}

fragment BannerAdvert_activeProductAdvert on ProductAdvert {
  title
  description
  destinationUrl
  sponsoringCompany {
    name
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  }
  wideImage {
    ...AccessibleImage_accessibleImage
  }
  narrowImage {
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  ...AdvertWrapper_activeProductAdvert
}

fragment Block_block on ContentPieceBlock {
  __isContentPieceBlock: __typename
  __typename
  ... on TextBlock {
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  ... on ImageBlock {
    id
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  ... on QuoteBlock {
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}

fragment ContentAuthorAndMetadata_author on Author {
  id
  byline
  profilePicture {
    ...Avatar_image
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  ...AuthorLinkWrapper_author
}

fragment ContentDownloadBlock_authorization on Authorization {
  roles {
    isB2bUser
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}

fragment ContentDownloadBlock_contentPiece on ContentPieceInterface {
  __isContentPieceInterface: __typename
  ...DownloadContentDropdown_contentPiece
  ...LicenseContentButton_contentPiece
  isAvailableToProducts
}

fragment ContentFooter_contentPiece on ContentPieceInterface {
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  id
  title
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  mostRelevantTags(first: 30) {
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}

fragment ContentHeaderDetails_authorization on Authorization {
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    isB2bUser
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}

fragment ContentHeaderDetails_contentPiece on ContentPieceInterface {
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  ...ContentDownloadBlock_contentPiece
  id
  title
  deepLink
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  chapters {
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}

fragment ContentHeader_contentPiece on ContentPieceInterface {
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  contentPieceType {
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}

fragment ContentMetadata_contentPiece on ContentPieceInterface {
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  consumptionTime
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  author {
    byline
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}

fragment ContentPieceBookmarkIcon_contentPiece on ContentPiece {
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}

fragment ContentPieceSEO_contentPiece on ContentPieceInterface {
  __isContentPieceInterface: __typename
  title
  imageForSeo: headerImage {
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  subtitle
  firstPublishedAt
  id
  ... on PublicContentPiece {
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  byline
  seoTitle
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}

fragment ContentPieceSponsor_contentPiece on ContentPieceInterface {
  __isContentPieceInterface: __typename
  sponsoringCompany {
    id
    name
    link
    logo {
      ...ServerImage_image
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}

fragment DefaultContentHeader_contentPiece on ContentPieceInterface {
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  ...AudioOnlyBanner_contentPiece
  ...ContentMetadata_contentPiece
  id
  title
  headerImage {
    ...ServerImage_image
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  author {
    ...AuthorLinkWrapper_author
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}

fragment DownloadContentDropdownContentPieceRefetch_viewer_1QxYRk on Viewer {
  contentPieceTranslation: contentPiece(slugOrId: $slugOrId) {
    __typename
    id
    title
    isAvailableToProducts
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      ... on Node {
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    keyInsightsBlocks {
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}

fragment DownloadContentDropdown_blocks on ContentPieceBlock {
  __isContentPieceBlock: __typename
  ... on TextBlock {
    textMarkdown
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}

fragment DownloadContentDropdown_contentPiece on ContentPieceInterface {
  __isContentPieceInterface: __typename
  localeMapping {
    languageCode
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}

fragment EvergreenContentHeader_authorization on Authorization {
  roles {
    isB2bUser
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}

fragment EvergreenContentHeader_contentPiece on ContentPieceInterface {
  __isContentPieceInterface: __typename
  ...ContentMetadata_contentPiece
  ...ListenButton_contentPiece
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  ...ContentPieceBookmarkIcon_contentPiece
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  canonicalLink
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  title
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  hasChapters
  chapters {
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  headerImage {
    ...ServerImage_image
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}

fragment ImageBlock_block on ImageBlock {
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  alt
  caption
  link
}

fragment KeyInsightsBlock_contentPiece on ContentPieceInterface {
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  keyInsightsBlocks {
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}

fragment KeyInsightsCarousel_contentPiece on ContentPieceInterface {
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  keyInsightsBlocks {
    id
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}

fragment KeyInsights_contentPiece on ContentPieceInterface {
  __isContentPieceInterface: __typename
  ...KeyInsightsCarousel_contentPiece
  ...KeyInsightsBlock_contentPiece
  keyInsightsBlocks {
    id
    textMarkdown
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}

fragment LicenseContentButton_contentPiece on ContentPieceInterface {
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  id
  title
  isAvailableToProducts
}

fragment ListenButton_contentPiece on ContentPieceInterface {
  __isContentPieceInterface: __typename
  id
  title
  trackingTitle
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  readingTime
  isPremium
  hasBlocks
  hasChapters
  hasAudio
  contentPieceType {
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  ...AudioOnlyBanner_contentPiece
}

fragment LoggedInPaywall_viewer_2HyoJ4 on Viewer {
  webSubscriptions {
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  }
}

fragment MainContentSection_contentPiece on ContentPieceInterface {
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    name
    trackingName
  }
  blocks {
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}

fragment MostPopularTags_tags on GenericTagConnection {
  edges {
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      ... on GeographyTag {
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}

fragment Navigation_authorization on Authorization {
  roles {
    isB2bUser
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}

fragment Navigation_tags on GenericTagConnection {
  ...MostPopularTags_tags
}

fragment PaywallBanner_contentPieceType on ContentPieceType {
  isAvailableForFreemium
}

fragment PaywallBanner_viewer_2HyoJ4 on Viewer {
  ...AnonymousPaywall_viewer_2HyoJ4
  ...LoggedInPaywall_viewer_2HyoJ4
}

fragment PremiumAccountPromotionPanel_webPaymentPlan_2HyoJ4 on WebPaymentPlan {
  amount
  currency
  currencySymbol
  interval
  promotionApplied(slug: $planSlug) {
    stripeDiscount {
      discountPct
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    id
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}

fragment QuoteBlock_block on QuoteBlock {
  quote
  caption
}

fragment ServerImage_image on URLImage {
  full
}

fragment SingleContentPiece_authorization on Authorization {
  ...authorization_authorization
  ...ContentHeaderDetails_authorization
  ...ContentDownloadBlock_authorization
  ...EvergreenContentHeader_authorization
  roles {
    isPreviewingContentAllowance
    isPreviewing
    isAnonymous
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    isFreemium
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}

fragment SingleContentPiece_content on Content {
  ...authorization_content
  anonymousUserHasPremium
}

fragment SingleContentPiece_contentPiece on ContentPieceInterface {
  __isContentPieceInterface: __typename
  ...AudioOnlyBanner_contentPiece
  ...authorization_contentPiece
  ...MainContentSection_contentPiece
  globalContentPieceId
  trackingTitle
  isPremium
  hasBlocks
  hasChapters
  hasAudio
  contentPieceType {
    name
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    ...PaywallBanner_contentPieceType
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  chapters {
    __typename
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    slug
  }
  sponsoringCompany {
    name
    id
  }
  activeProductAdvert {
    ...BannerAdvert_activeProductAdvert
    id
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}

fragment SingleContentPiece_viewer_4uP6yi on Viewer {
  ...PaywallBanner_viewer_2HyoJ4
  ...DownloadContentDropdownContentPieceRefetch_viewer_1QxYRk
  mostPopularTags(first: 10) {
    ...Navigation_tags
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  authorization {
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  features
}

fragment Tag_tag on GenericTag {
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  ... on GeographyTag {
    name
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  ... on ContentTag {
    name
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}

fragment TextBlock_block on TextBlock {
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}

fragment authorization_authorization on Authorization {
  roles {
    isPreviewingContentAllowance
    isPreviewing
    isAnonymous
    hasPremiumSubscription
    isFreemium
  }
}

fragment authorization_content on Content {
  anonymousUserHasPremium
}

fragment authorization_contentPiece on ContentPieceInterface {
  __isContentPieceInterface: __typename
  isPremium
  contentPieceType {
    isAvailableForFreemium
  }
}


The UK’s Biggest Water Company Is Having Liquidity Issues

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