§ Mr. AshbyTo ask the Secretary of State for the Environment whether there will be special share offer arrangements for the employees of the privatised water authorities.
§ Mr. HowardThe Government welcome the opportunity which privatisation of the water industry will bring for employees of the new water plcs to take a stake in the future of their companies. There will therefore be special share offer arrangements, which will include: free shares, further free shares to match those bought by employees, and possibly shares at a discount. Plc employees will also be given priority in the allocation of shares in the offer.
The exact details of the benefits to be made available in this way will be decided nearer the time. There will be 241W special arrangements for employees of the water authorities who move to the new plcs and will not therefore apply to employees of the water authorities who move to the National Rivers Authority, the body which will be set up to exercise regulatory functions in relation to the water industry.