Oral Answers to Questions
Debate between Caroline Flint and Michael Fallon
The Minister of State, Department of Energy and Climate Change (Michael Fallon)
I understand the uncertainty that this is causing workers at Kellingley colliery in my hon. Friend’s constituency and at Thoresby colliery in the constituency of my hon. Friend the Member for Sherwood (Mr Spencer). We have been working with the company since January to help it to overcome the challenges that it faces. The exceptional offer we made of a Government loan of £10 million to the consortium that was leading the rescue remains on the table despite the withdrawal of Hargreaves, and we continue to work with UK Coal and its directors to explore what other sources of private investment might be available.
Caroline Flint (Don Valley) (Lab)
As has been said, there is a great deal of concern about the future of jobs at Kellingley and Thoresby pits following the decision by Hargreaves to pull out from UK Coal’s managed closure programme. The redundancy process is already under way, but there may still be time to find a way forward, so could the Minister confirm that the £10 million loan is on the table and that the Government are still exploring all viable options, including an employee buy-out, to secure a future for these pits?
Michael Fallon
The only plan so far presented by the board of UK Coal is the plan from which Hargreaves withdrew last week. If further plans are presented by UK Coal, with which we are working each day, we will, of course, be prepared to ensure that the £10 million loan remains available. If there is a viable plan for an employee buy-out, we will certainly look at that as well.