Question to the Department for Environment, Food and Rural Affairs:

To ask Her Majesty’s Government what discussions they have had with Thames Water regarding (1) its payment to its offshore shareholders of £170 million in dividends, (2) its non-payment of United Kingdom tax, and (3) the pay increase given to its chief executive officer, in the light of the fact that the company is in receipt of a government guarantee to finance the Thames Tideway Tunnel.

The Government has had no discussions with Thames Water in this regard.

The payment of dividends is a matter for Thames Water.

The Government cannot comment on the tax affairs of individual companies. Thames Water is resident for tax in the UK and is required by law to pay all taxes for which it is liable.

Thames Water Chief Executive Officer’s pay is also a matter for the Thames Water Board and its shareholders.

The Government is not providing a guarantee to Thames Water. The Thames Tideway Tunnel project is being delivered in the private sector and will be financed and delivered by a competitively tendered Infrastructure Provider that is an entirely separate entity to Thames Water. Details of the contingent Government Support Package for this entity were announced in a Written Ministerial Statement on 5 June 2014.