British Steel

Caroline Flint Excerpts

Wednesday 24th July 2019 Commons Chamber

[Greg Clark]

The terms and conditions have continued. The special managers, on behalf of the official receiver, have worked closely with the trade unions. Through the support group, we have no complaints and no reason to think that anything in those terms and conditions has been impaired during the insolvency. Of course, when a company is in insolvency, it is in the hands of the official receiver, but the special managers have shown themselves to be understanding and accommodating of the requirements of the workforce. It is a reflection of the workforce that they have committed themselves to the company and increased production at a time of uncertainty. That is a real tribute to their professionalism and the faith they have in the quality of their product.

[Caroline Flint (Don Valley) (Lab)]

I know from friends and colleagues in the trade unions, particularly Community, that they are thankful for the positive approach the Secretary of State has taken to his dealings with this. I am glad that Doncaster is providing the venue for talks, and everybody who is a party to them is welcome to come to my house for beer and sandwiches—or whatever they fancy—if it helps the talks in any way.

The Secretary of State has mentioned securing a steel sector deal a couple of times, and he alluded to one of the issues that the industry should think about. Does he still believe that getting those talks under way again at the earliest possible opportunity is crucial, and what other main headline issues need to be sorted, discussed or broached to get those talks up and running at the earliest opportunity?

[Greg Clark]

I am grateful to the right hon. Lady, and it has been good to meet in Doncaster. It may seem a surprising place to meet, but it is quite convenient for both Scunthorpe and Teesside, as well as London, so that is where we start our week. The invitation to go to the right hon. Lady’s house is a very inviting one, which I am sure the support group will want to take up.

On the sector deal, we have made good progress, but all sector deals are about investment. It has been a feature of the steel industry in recent years that the investment in the future has not been at the level of some other industries where we have concluded deals—life sciences, automotive, aerospace and others. It is not in any sense that the talks have broken down; it requires investments to be made. I hope that, if there is to be a successful resolution for British Steel, that might provide the ability to do precisely that.