Thames Water - comment

Knock knock! Who's there? Canada... Canada who? Ottawa, Canada! So to keep Mr Burnham honest, RBC is rolling in the big guns. Following Mark Carney's visit to Liverpool last month (former governor of the BOE), the formal warning seems well timed. Canadian state officials cautioned yesterday that a nationalisation of the utility "could" inflict significant losses for international investors and hinted that expropriation without compensation could jeopardise further investment in the UK economy. That hint spells out exactly what the UK need to avoid, and it comes from the home of some of its biggest investors. Still, considering the conditional "could", we actually worry about exactly how RBC accounts for its investment in Thames Water.