Thames Water appoints new £850,000 boss in attempt to turn tide
Thames Water has appointed former Aggreko chief executive Chris Weston as its new boss, as the embattled firm looks to turn the page on a miserable few years.
The appointment comes as the water company continues to face a broadening list of both financial and operational problems, from loan obligations it can’t meet to regulator fines for poor performance on service and pollution.
Weston said he is stepping in at a “crucial time” for the company and “wider” water sector, where he will be focused on turnaround and performance improvement.
“I recognise that this business is critical to both society and the UK and how important it is that we restore confidence in our operations and financial position, Weston said.
He will be paid an annual salary of £850,000 as well as receiving pension considerations of just north of £100,000, and be eligible for a bonus scheme worth nearly 200 per cent of salary.
He will start on January 8, replacing interim co-CEOs Cathryn Ross and Alastair Cochran who stepped in after Sarah Bentley quit unexpectedly last year.
Thames Water’s proposed business plan for the next five years includes £18.7bn total expenditure and a record £4.7bn investment in its network and assets to improve water security.
Sir Adrian Montague, chairman of Thames Water, said: “He has a proven track record working in regulated environments, turning round business performance and improving customer experience.
“He brings strong operational and strategic expertise as we enter this crucial period of delivering our refocused turnaround plan and providing the service that customers rightly expect of us.”
As of Tuesday, Thames Water is set to plead with lenders to extend the collection date of a £190m loan that it currently cannot pay back.
Its chairman pinned the blame for the firm’s financial troubles on “very low” customer bills.
The £190m is due in April – one chunk of around £1.4bn maturing in the coming months – but on Tuesday the water company admitted it didn’t have the cash.
The firm is waiting for a decision from the regulator on what it can charge customers.