Thames Water crisis deepens as shareholders refuse to pay £500m

The company has become a poster child for the failures of privatisation in Britain

A standoff between the company, its shareholders and the regulator over whether it can hike bills to fund investment in its crumbling network of pipes has left it in financial limbo.

Thames Water, Britain's biggest water utility, said its shareholders had refused to pay £500m (€585m) promised to stabilise its finances, heightening concerns over its survival.

The company, which supplies a quarter of Britain's population in London and its surroundings, said it had until late next year to secure more funding or risk nationalisation.