Reform UK's deputy leader urged the Prime Minister to recall Parliament over the future of Thames Water
Reform UK's deputy leader Richard Tice has urged Prime Minister Andy Burnham to buy Thames Water for £1 and place the company into special administration.
Mr Tice criticised the pay awarded to senior executives at Britain's largest water company as it continues to face severe financial difficulties.
Mr Tice said the Government should acquire both the company's equity and debt holders for the symbolic sum of £1 before transferring Thames Water into a special administration regime.
He said he felt "gut-wrenching fury" over executive pay while the company remained under significant financial pressure and continued to serve millions of customers across London and the Thames Valley.
In the letter, Mr Tice said Thames Water met the criteria for special administration because "it cannot meet its debts and is effectively insolvent."
He added that the company "also cannot meet its operational obligations to the regulator, Ofwat."
The Reform UK deputy leader also called for Parliament to be recalled to debate the future of the company.
Mr Tice wrote: "The whole investment world must realise that while we believe in markets and competition, we will not allow the taxpayer to be shafted."
He also urged the Prime Minister not to be "scared of threats of legal action by aggressive lawyers acting for the hyenas", referring to reports that Thames Water's creditors have instructed litigation specialists who could take legal action if the Government rejects their rescue proposal.
Mr Tice said "parliament and the country are both aghast and sick of" executive pay packages at Thames Water while creditors were also seeking "to waive hundreds of millions in fines".
The intervention comes as the London & Valley Water consortium, which represents around £17billion of Thames Water's debt, set out its own plans for the company's future.
The consortium said it believed it could deliver a restructuring plan consistent with Mr Burnham's ambition for greater public oversight of water companies.
In a statement, the group said it had developed proposals for new locally focused governance arrangements designed to operate in the public interest and benefit customers.
The consortium said it looked forward to presenting the proposals to environment secretary Angela Eagle.
A spokesperson said the group was willing "to make significant new commitments to grant greater controls and oversight to ministers, implemented through a 'Golden Share'."
The consortium said the proposal would also strengthen local representation by giving councils and regional leaders a formal role in overseeing Thames Water's operations.
It also rejected suggestions it was seeking more lenient treatment from regulators.
The spokesman said the consortium was "not seeking any change to Ofwat's existing enforcement guidance or the Environment Agency's existing enforcement and sanctions policy.
"No immunity from enforcement and fines under these policies will be given to the company."
The consortium also said its proposals would "create a clear path to environmental compliance as quickly as possible."
Thames Water said last week that chief executive Chris Weston did not receive any performance-related pay for the most recent financial year.
