Harland & Wolff

Debate between Chris Law and Jonathan Reynolds

Thursday 19th December 2024 Commons Chamber

[Jonathan Reynolds]

I am sorry if the hon. Lady missed it, but I was clear that what we have announced today does not change the provisions in the original contract agreed by the former Conservative Government. What has changed is that we have saved all four of these yards, at a time when we could have lost them all through the inability of the previous Government to take the action required, so it is an incredibly positive story. We have saved the position of those yards and guaranteed those jobs, and not for months but for years to come.

[Chris Law (Dundee Central) (SNP)]

I take this opportunity to wish you a merry Christmas, Madam Deputy Speaker.

I thank the Secretary of State very much for what is wonderful news for all four sites across the UK. Obviously, I am going to be slightly biased towards the two in Scotland, one in Arnish on the Isle of Lewis and the other in Methil in Fife—that is very welcome news in the week before Christmas. I also thank the Government for their co-operation with the Scottish Government over the past months, particularly in the early days when UK Labour had come into government, and I put on record the work that the Deputy First Minister of Scotland, Kate Forbes, has contributed.

I have a couple of questions. First, given that we are moving forward, are the workers’ current terms and conditions going to continue as they are? Secondly, I have listened to what has been said about future contracts. We know that both yards in Scotland will be protected for the next two years, but can the Secretary of State tell us a little bit more about the longer-term sustainable footing, not least because this company has changed hands three times in the past four years?

[Jonathan Reynolds]

I am grateful to the hon. Gentleman for his observations and questions. It was really important to us that we keep all four yards together—there had been an assessment that, for understandable reasons, the Belfast yard was more commercially valuable, so there was a real chance that any unstructured rescue package could have lost the two Scottish yards. There were question marks about those yards in particular, so keeping the business together and protecting the future of those workers was hugely important to us, and I am delighted that we have been able to achieve that.

The job guarantees for the non-Belfast yards will last for two years. The guarantee is for 90% of the overall job numbers, simply to provide the usual degree of flexibility in running that business, but that guarantee covers the majority of the workforce and keeps them in place. The deal also comes with investment in those Scottish yards, so whatever the future holds, those yards will be even more competitive and more able to bid for the kinds of contracts that will secure the long-term prosperity we are all seeking. I am always genuinely willing to work with colleagues across any part of the UK to secure the kind of outcome we have achieved today, and I am grateful to the hon. Gentleman for recognising that.