UBS Investment Bank is considering making a late offer for South East Water, the regional British water utility being sold by French parent Bouygues, in a scenario reminiscent of Deutsche Bank's takeover of Northumbrian Water, according to sources close to the bank.

The deadline for final bids expires on Friday, and prospective purchasers in the auction, which is being run by Rothschild, are understood to include CVC and Macquarie, the Australian bank.