Exclusive: Ministers to act after last year’s legislation ‘outwitted’ by failing firms paying millions to executives

The government is to close loopholes which allow bosses of failing water companies to continue to receive large bonuses despite a ban passed last year, it can be revealed.

Bosses of companies that illegally dumped sewage into England’s rivers and seas and presided over water shortages which left thousands of people in misery have still been paid millions in bonuses despite the ban.