British water and power firms are trying to soothe nerves over nationalization i...
LONDON - British water and power firms are trying to soothe nerves over nationalization in the event of a Labour government, although some fund managers and lawyers doubt so-called Corbyn-proofing will work.
Now, with Labour gaining in the polls and a general election seen as more likely following a delay to Britain’s European Union departure, companies and investors are taking the possibility of nationalization seriously. Reuters reported last year that many foreign pension and investment funds were opting to shift their stakes in UK utilities to jurisdictions such as Hong Kong, where bilateral treaties protect against asset expropriation. Lawyers said this process was continuing.
“We have seen some foreign investors hold their hands up and say we are not looking at UK infrastructure,” the banker said. “There were a lot of questions about Corbyn on the roadshow.”Some say a Labour government could simply change the law to annul a Thames Water-type provision and swap any cash due for government-issued gilts.
Nevertheless Richards went underweight in British utilities midway through last year, arguing that nationalization risk means they are no longer a safe bet.S&P Global puts the cost of taking the water and power sectors back into state hands at some 160 billion pounds , based on the regulated asset value of the companies.
Any Corbyn discount is most visible in bonds issued in a holding company structure often used by utilities to raise debt.
Österreich Neuesten Nachrichten, Österreich Schlagzeilen
Similar News:Sie können auch ähnliche Nachrichten wie diese lesen, die wir aus anderen Nachrichtenquellen gesammelt haben.
Jeremy Corbyn refuses invite from the Queen to attend banquet with 'racist and misogynistic' Donald TrumpThe Labour Party leader says the United Kingdom should not be 'rolling out the red carpet' for US President Trump.
Weiterlesen »
On “Fleabag”, a Corbyn government and Kenneth Clarke’s tandoori momentsOur Britain columnist laments the decline of working-class culture
Weiterlesen »
Corbyn snubs Trump dinner at Buckingham PalaceLabour leader said he was opposed to the president receiving the ‘red carpet’ treatment.
Weiterlesen »
Lead from Notre Dame fire dictates area health precautionsParis police say areas near Notre Dame Cathedral with elevated lead levels after the fire that ravaged the famous monument will remain closed to the public until they are deemed safe.
Weiterlesen »
Lead from Notre Dame fire dictates area health precautionsPARIS (AP) — Paris police say areas near Notre Dame Cathedral with elevated lead levels after the fire that ravaged the famous monument will remain closed to the public until they are deemed safe.
Weiterlesen »
Jeremy Corbyn refuses invite from the Queen to attend banquet with 'racist and misogynistic' Donald TrumpThe Labour Party leader says the United Kingdom should not be 'rolling out the red carpet' for US President Trump.
Weiterlesen »
Hammond optimistic of finding Brexit compromise with Corbyn's LabourChancellor Philip Hammond said on Friday that he was hopeful of clinching a Brex...
Weiterlesen »
On “Fleabag”, a Corbyn government and Kenneth Clarke’s tandoori momentsOur Britain columnist laments the decline of working-class culture
Weiterlesen »
Corbyn snubs Trump dinner at Buckingham PalaceLabour leader said he was opposed to the president receiving the ‘red carpet’ treatment.
Weiterlesen »