The financial crisis on the Continent looks set to have a further impact on the UK utilities sector in 2013. With four of the big six under European ownership, expect some major transactions this year.
In 2010, EDF sold its networks to help reduce its debt, and we can expect more of the same. It was reported this week that Iberdrola has put on ice its plans to sell part of its stake in Scottish Power, having managed to bolster its balance sheet with other asset sales, including that of a number of French windfarms last year.
But with the Spanish company looking to sell Eu2 billion of assets by 2014, Scottish Power is bound to come under consideration again.