Electricity firms see mergers
Friday 30 June 1995
Henry Casley, chief executive, said the "tighter the screw", the more companies would have to cut jobs or seek a partner to achieve economies of scale. Mr Casley said Southern had made it clear it would welcome talks on a merger. But he added: "The silence has been deafening." He said everyone in the industry was waiting for the announcement on prices by Professor Stephen Littlechild, director-general of Offer, which could come as early as next week.
Southern, one of the largest regional firms, also echoed calls made by Eastern Electricity for a tougher regime for the smaller regional firms. Southern and Eastern complain that the small companies were given an unfair financial advantage at privatisation and that they often have the highest domestic charges. Mr Casley said: "Professor Littlechild should punish the guilty not the innocent."
Professor Littlechild has been highly secretive about the new price controls. But Southern said that the prospects of them being so onerous as to force the entire industry to the Monopolies and Mergers Commission is "incredible", particularly in the light of government plans to sell the nuclear industry.
Southern announced a drop in pre-tax profits to pounds 202m in the year to 31 March from pounds 222m the previous year after a pounds 50m charge related to the disposal of the retail arm. The underlying profit rose by 13.6 per cent to pounds 252.1m and earnings per share increased by 12.2 per cent to 71.8p. The total dividend for the year is up 25.6 per cent to 28.5p.
- 1 10 ways we damage our teeth – without realising
- 2 Fifa corruption arrests: Nike reported to be 'multinational sportswear company' at centre of bribery claims over Brazil shirt deal
- 3 Facebook Messenger sends 'creepily' precise location data, as revealed by Marauders Map Chrome extension
- 4 Bahar Mustafa: Goldsmiths Students' Union diversity officer to keep her job after vote of no confidence petition fails
- 5 Photo of wedding guest proposing to girlfriend in front of bride and groom goes viral
Hopes raised for treatment of severe amnesia after scientists retrieve lost memory – using light
Playboy model April Summers speaks out about being a victim of a voyeuristic sex crime
Poorest part of London is wealthier than the richest parts of Northern Ireland and Wales
British tourists complain that impoverished boat migrants are making holidays 'awkward' in Kos
How to live to be really old
EU referendum: David Cameron's rules are a 'democratic disgrace', says French-born Scottish politician set to be denied a vote
SNP fury as HS2 finds 'no business case' for taking fast train service to Scotland
Australian man punched in the face for defending Muslim women from abuse on train
A nation of inequality: How the UK is failing to feed its most vulnerable people
David Starkey 'tells Amal Clooney to shut up and stop over-promoting human rights'
EU referendum: David Cameron to deny EU migrants and under-18s the chance to vote
iJobs Money & Business
£30 - 35k: Guru Careers: We are seeking a Pricing Analyst to join a leading e-...
£20000 - £25000 per annum + OTE £45K YR1: SThree: At SThree, we like to be dif...
£20000 - £25000 per annum + competitive: SThree: Did you know? SThree is a mul...
£55 - 65k (DOE): Guru Careers: A unique opportunity for a permanent C# Develop...