The Financial Times has reported that Macquarie (also known in Britain as the Vampire Kangaroo) has told investors it was “very proud’ of its record as the owner of Thames Water – the company it sold seven years ago.

Well, it was no doubt proud of the money they made out of it – £2.7 billion in dividends to Macquarie and offshore pension funds. Today, the latest Thames Water owners are close to insolvency and are seeking a government bailout with a £3 billion loan. But the new owners want to preserve the Macquarie culture by spending part of the bailout money on hundreds of thousands in bonuses.

The Guardian (16 May) revealed that the company’s senior managers were in line for “substantial’’ bonuses and the company claimed the payouts were vital to retaining staff and preventing rival companies from “picking off” its best employees. The Guardian reported that the Thames Chair, Sir Adrian Montague, told the House of Commons environment, food and rural affairs (Efra) committee that the managers were entitled to the money and that senior mangers were “its most precious resource’’.

He also said the company chief executive,........

© Pearls and Irritations