Tuesday, 8 December 2009

Government gives up on steel industry - Ian Swales

Any hope that the Government will support the local steel industry while it looks for a buyer who will invest in the site looks to be over. A £60m package of investment announced by the Government makes no mention of a future steel industry. Lord Mandleson, speaking after a meeting with the area's business and political leaders, said the investment was designed to help the area's transition beyond traditional heavy industry. He seems to have given up on Teesside's core industries.

Ian Swales, Liberal Democrat prospective MP for Redcar, said:

"This confirms what we have thought all along, that the Government has no commitment to a future steel industry on Teesside. It's a very sad day for local people.

"The package announced is welcome but in the short term will do little to help the 25,000 currently out of work in the Tees Valley or the thousands about to join them.

"The Government also need to be clear about how the £60m will be spent and how much of it is new money. The £30m announced for Wilton does not sound like anything new compared to what has already been proposed.

"People will rightly be very sceptical about claims that this investment will create 3,000 new jobs."

No comments: