Nissan: Sunderland
Debate between Baroness Armstrong of Hill Top and Baroness Neville-Rolfe(8 years ago)
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Baroness Neville-Rolfe
In the discussions with Nissan, we emphasised the strong common ground that there is between us and EU member states, our intentions and ambition to get a really good deal and the mutuality of interest in the automotive industry. I am confident that the UK can get a good deal from other member states. That is the view that Nissan has come to, which is why it is making the investment it is.
Baroness Armstrong of Hill Top (Lab)
My Lords, does the Minister acknowledge the centrality of manufacturing to the north-east of England? Nissan is very important. I am probably the only person in this House who was born and brought up in Sunderland, and I well remember the challenge when Nissan was eventually persuaded to invest. It is a loyal company. I have just seen the Japanese ambassador, and that is precisely what he emphasised: the loyalty inherent in Japanese companies.
However, the supply chain is critical. The north-east manufactures more per head than any other region. It is more dependent on manufacturing than any other region in the country. The supply chain is critical, as are other industries, as the noble Baroness says. What discussions is she or are the Government having with Hitachi, which is critical to train development in Newton Aycliffe? It has made new investment there and is very worried because it now does not think, because of EU rules, that it will be easily able to make trains in this country for other European countries.
Baroness Neville-Rolfe
The noble Baroness is completely right about the north-east: I always love the opportunity to visit, and have been to Newton Aycliffe in the not too distant past. We have a catapult not far away researching world-leading innovation. We are in constant discussion with Hitachi on its investment plans, which are indeed very important. This is the sort of foreign investment that we need to continue to welcome to the UK and the north-east.
BBC Charter White Paper
Debate between Baroness Armstrong of Hill Top and Baroness Neville-Rolfe
Baroness Neville-Rolfe
The Government are publishing their White Paper in the usual way. There will then be a process through to the end of the year, when the current charter runs out and the new charter will need to take effect. Of course, the Government will take into account points made during that process. I am sorry I cannot cast more light.
Trade Union Bill
Debate between Baroness Armstrong of Hill Top and Baroness Neville-Rolfe
Baroness Neville-Rolfe
That is a different matter. To respond to the question that was asked, we are in fact in contact with the CAC, but to bring in electronic balloting, as I have said, you need to be clear that the matter is extremely carefully addressed. A key area is to ensure that the electronic system correctly establishes an individual’s eligibility to vote. It has to capture the vote accurately while at the same time protecting the individual from being identified. The system needs—and I think there will be a lot of agreement on these points—to be both anonymous, to preserve individual privacy and secrecy, and accountable, to guard against malpractice and fraud.
Baroness Armstrong of Hill Top (Lab)
Is the noble Baroness therefore questioning ballots such as the one in Durham, which finished last weekend, on whether the population want to accept the Northern powerhouse? Is she saying that such ballots, because they include online voting, are not legitimate and should be rejected?
Redcar Steel
Debate between Baroness Armstrong of Hill Top and Baroness Neville-Rolfe
Baroness Neville-Rolfe
My Lords, I am not privy to discussions between the Chancellor and Chinese senior Ministers, but I do believe in free trade. The point about the visit was to build relationships both ways. I believe that the Chinese can invest in Britain and can be helpful to Britain. Our industry obviously has to be competitive and produce great steel, as they did for example on Crossrail. That is what we need more of. We are looking forward. We are having a summit, which is taking place tomorrow, to look forward at other opportunities and prospects, and I look forward to hearing the results of that.
Baroness Armstrong of Hill Top (Lab)
My Lords, the reality is that there was an offer from a local company, Hargreaves—which ironically is based just outside Consett and is essentially now a coal-mining and haulage business—to put money in and maintain the coke ovens. The coke ovens produce a new form of coke called foundry coke, which is much more value driven and therefore raises a much higher cost because it is more efficient. The Germans want to buy this coke and the only place that it can be made is at Redcar. The Government not working with the receiver to give some time has meant that the coke ovens will close today and no more opportunity will be there. That is surely something that the Government can and should do something about.
Baroness Neville-Rolfe
My Lords, the Government and the receiver did take time. They used the notice of intention to appoint an administrator. Talks had been going on before. As I said, it was not possible to come up with a viable case for continued use of these coke ovens and the blast furnace on a basis that would be competitive in the world. We all regret that. My heart goes out to the thousands of people who have lost their jobs. We now have to look forward, help them and find new opportunities.
Redcar Steelworks
Debate between Baroness Armstrong of Hill Top and Baroness Neville-Rolfe
Baroness Neville-Rolfe
My Lords, I am not sure that energy policy is the issue here. We have already paid £50 million in compensation under the Energy Intensive Industries Compensation Scheme. As my noble friend said, the issue is the lack of competitiveness, but I think some public organisations do this better. If one looks at Crossrail, one sees that it used a great deal of British steel in its concretes by way of the work that it did with the supply chain to encourage it to bid for work during that excellent project.
Baroness Armstrong of Hill Top (Lab)
My Lords, does the Minister recognise that the north-east has faced issues like this before? When I became the Member of Parliament for North West Durham in 1987, Consett steelworks had closed. Ironically, one of the reasons that we were given for closing Consett was to keep things going in Teesside. We then faced a male unemployment rate in the region of 20%. It took years and years to begin to get people employed, and it was very difficult to get the quality of skills that they had been used to working with in the steelworks. This is a huge challenge to the local community and I really think that the Government have not taken it seriously enough. The summit in Rotherham will do nothing for Redcar.
The £80 million, as the noble Lord said, includes statutory redundancy costs, which is an outrage. Will the Government pay far more attention to what is going to happen to that community in Redcar, which is quite isolated? Unemployment in the north-east is already the highest in the country, and in the Tees Valley area it is probably higher than in the rest of the region. This is a real crisis for local people and the Government must recognise—in a way that, locally, they are not seen as having done so far—the impact that it will have on that local community and make sure that the opportunity for change and reconstruction of some manufacturing jobs is made more possible. That means working closely with the European Union as well with the local task force and the LEPs.
Baroness Neville-Rolfe
My Lords, I do not share the negative view that was set out, but I agree that we need to look forward. We set out in our Statement yesterday a great number of the things that we are doing on reskilling and looking forward, as the noble Baroness suggested. We have taken action at the EU level to work with other member states who face similar challenges—the French, the Germans and the Luxembourgers—in fighting dumping, and some measures have been taken. But as I said, this is a real competitiveness issue and we need to look forward and find new opportunities in this important industry.