MP opposing debt package tells court that hundreds of millions of pounds would go on fees and interest costs

Struggling Thames Water may gain less than £500m in usable cash while taking on £1.5bn in emergency debt because of expensive fees and interest costs, the high court has heard.

Thames Water is seeking approval from the court for a restructuring deal with existing creditors that would provide £1.5bn in immediate financing, potentially rising to £3bn, to stave off collapse by the end of March.