Outlook: Water protest
SHARES PRICES in the water sector have not recovered from the shock of the price cuts announced by the industry regulator, Ian Byatt at the end of July. Unless the individual companies can persuade him to go easier in face to face meetings over the next fortnight, then a rash of appeals to the Competition Commission looks increasingly likely. One option being mooted is a collective appeal unless Mr Byatt gives ground and allows the industry a cost of capital higher than 4.25-5.25 per cent. Now is the time not to blink.