A HONG Kong based firm said today that it is considering a cash offer for Northumbrian Water.

The plc, based at Pity Me, near Durham City, employs 2,800 people across the UK and has 4.4million North-East customers.

In a statement to the stock exchange Cheung Kong Infrastructure Holdings Limited(CKI) said: "CKI notes the recent speculation regarding a possible offer for Northumbrian Water.

"CKI is in the preliminary stages of assessing a potential cash offer for Northumbrian Water.

"There can be no certainty that an offer will ultimately be forthcoming."