Bond navigators: Can Ofgem make gas more solid?

Although the UK water sector has faced widespread controversy in recent years, as well as significant volatility in issuers’ bond prices, the UK gas sector has remained relatively stable. As Ofgem concludes its regulatory review for the next five years, it has a clear opportunity to learn from Ofwat’s mistakes. Royal London Asset Management believes the gas regulator must consider direct lessons from Ofwat’s failings and underpin these learnings in its sector financing. In August, Royal London Asset Management participated in an investor roundtable with Ofgem to discuss the draft determination...