Paul Singer, a billionaire donor to Donald Trump, could make millions from a deal being negotiated between the UK government and Thames Water. Singer is the founder of Elliott Investment Management, a leading creditor in the hedge fund consortium locked in talks to rescue the struggling water company.
Thames Water, the UK's largest water supplier, has amassed £17.6bn in debt since privatisation. The consortium, known as London & Valley Water, includes Silver Point Capital, BlackRock and M&G, and is attempting to take over Thames in a multibillion-pound restructuring. Elliott's founder Singer, 81, donated $5m to Trump's Super Pac and tens of millions more to Republican allies in 2024.
Critics have condemned the potential deal. Cat Hobbs of We Own It said: “Trump wants control over NHS drug prices, and his mega donor Singer wants control over our water. ‘Absolutely not’ should be the answer of any government that considers itself patriotic.” Labour MP Clive Lewis added that handing Thames to Singer would be “throwing red meat to the wolves”.
The creditors are demanding leniency on fines and environmental targets, which could be worth up to £1bn. A £3bn loan with interest rates of up to 9.75% is already set to generate profits from customer bills. The deal faces uncertainty due to potential leadership changes, with Labour's Andy Burnham advocating public control of water companies.
