Former Steelworks Site in Redcar

Debate between Marion Fellows and Anna Turley

Wednesday 14th November 2018 Westminster Hall

[Marion Fellows]

The hon. Gentleman is absolutely right. I do not have a solution; I can only lay out what has happened at the Ravenscraig site. People have been doing their best, but the recession in 2007 really bit into developments there. When things get delayed, they do not always come back again, which is a real worry for everyone.

I give credit to North Lanarkshire Council, as I always do when it does things right, for continuing to work on the site and for trying to get more investment into it, but I fear that, with Brexit apparently here, this is going to be an ever-growing challenge to local agencies and authorities. Motherwell and Wishaw were iconic not just for Ravenscraig; there were always steelworks in my constituency. The fact that the Scottish Government managed to save what is now Liberty Steel—the DL works—and, in a neighbouring constituency, Clydebridge, is testament to the work that they have done and are trying to do.

We need steel. When I was first elected to Parliament, the all-party parliamentary group on steel and metal related industries was the very first one that I joined. I fought hard to save the steel industry in my constituency, and that was achieved. Ravenscraig does not make steel—it simply rolls plate—but it is still there. That is thanks to the work of the Scottish Government, who were determined to save that site and as many jobs as possible—not only the workers, but, more importantly, the apprentices who were working on the site at the time. It will be interesting to hear whether the Minister can give the same commitment to the industry in England and Wales. There are no longer steelworks in Redcar, but we need these iconic industries at our backs if we are to move forward as a group of countries.

I pay tribute to the hon. Member for Middlesbrough South and East Cleveland for saying that everyone has to work together, which I think everyone realises. It is not a party political issue when something like this happens, but things do move ahead on party political lines. We have to be cognisant of that fact, and people have to keep putting pressure on the Government to make decisions and to treat the area favourably, even if it is not recognised as a really good area for their party.

I go back to 1992, when very little was done by the central Government to support Ravenscraig and the workers who lost their jobs. I moved into the area shortly afterwards, and all I could hear was tales of when the steelworks used to be open and how Motherwell and Wishaw were such thriving, wonderful places. It took a long time for the towns to recover. They still have not recovered totally, because the jobs that people do now are completely different. I think that is what is found in Redcar, too.

[Anna Turley]

Regarding the hon. Lady’s experience, does she sense that there was a loss of skills and a loss of the workforce in any way? My big concern is that the longer this delay goes on, the more people will move away from Redcar to look for work elsewhere, and we will lose our highest-skilled and best workforce.

[Marion Fellows]

The hon. Member for Stockton North (Alex Cunningham) has already said that Scots people go all over the world looking for work. Yes, there were people who left and people who retrained. There was a very good deal in those days for the steelworkers who were made redundant; they were given, I think, two or three years’ training, which allowed many to go to college or university and completely retrain. In fact, my predecessor retrained and then became an MP, which was not necessarily what he retrained for, and he moved away—part-time, anyway—down here to work.

It really is important that all parties look at what happened after Ravenscraig shut, because that is comparable and it should be used as a template, in some regards to complement what is still going on there, but in others to look at this and say, “We mustn’t allow that to happen. We mustn’t allow things to stall and nothing to happen for long periods.”

UK Steel Industry

Debate between Marion Fellows and Anna Turley

Thursday 17th September 2015 Commons Chamber

[Marion Fellows (Motherwell and Wishaw) (SNP)]

Thank you, Mr Deputy Speaker, for allowing me to speak in this important debate. I also want to thank the Backbench Business Committee for agreeing to find time to hold it today. I pay tribute to all those who have spoken in this debate. In particular, I pay tribute to the passion, commitment and knowledge of the hon. Member for Redcar (Anna Turley), and thank her for leading in securing the debate. I feel I have something to add, but I will also be reiterating much of what has already been said. I make no apology for that, because everything that has been said is important and cannot be reiterated too often.

My constituency has been associated with steel since John Colville created the Dalzell works in the early part of the 1870s—I apologise to my hon. Friend the Member for Rutherglen and Hamilton West (Margaret Ferrier) for saying it, but we were there first. The famous Ravenscraig integrated steel plant was located in the centre of my constituency, and its closure is still felt today. I do not want to dwell on the past in this debate, so instead I shall deal with present reality and look to the future.

Dalzell plate mill is part of the long products division of Tata Steel Europe. Tata split this part of its UK operations to form a stand-alone division, which includes the neighbouring Clydebridge heat treatment facility in my hon. Friend’s constituency and the Scunthorpe plate mill, which is situated in the constituency of the hon. Member for Scunthorpe (Nic Dakin) and, as I have also now learned, that of the hon. Member for Brigg and Goole (Andrew Percy). Tata Steel is still trying to secure the third-party contribution after the proposed deal with the Klesch Group fell apart. That makes those plants particularly vulnerable in the current economic climate affecting the UK steel industry.

Long products’ key markets include the automotive and construction industries; energy and power; rail; aerospace; and defence and security. UK Steel, Tata Steel and the Community union all agree on the basic problems that face the industry: energy costs are too high; the pressure put on supply chains from unfair practices needs to be addressed; and the dumping of Chinese steel needs to be looked at again. I welcome the Government’s backing, but more must be done. If other countries, such as Italy and Poland, can provide help for their steel industry within EU rules, it should be possible for the UK Government to do so, too.

It is vital that there is a level playing field for business rates with our European competitors. The business rates system has penalised UK steel producers for making improvements, and that surely flies in the face of common sense. Increasing the value to the UK from supply chains will create jobs. A recent CBI report highlighted that more than half a million jobs could be created across the UK if supply chains are rebuilt. The Prime Minister congratulated Nissan yesterday on its contribution to the UK economy, but where does it get its steel?

[Anna Turley]

Let me draw on a comment that was made by the hon. Lady and by my hon. Friend the Member for Middlesbrough South and East Cleveland (Tom Blenkinsop). It is great that we are championing success in industry and engineering, particularly in the north-east, but we must also be there in times of crisis.

[Marion Fellows]

I could not agree more. I wish to see expansion in the sector to allow Scottish steel to be used in Scottish infrastructure projects in the future. The energy-intensive industries compensation package payments need to be fully implemented now; there should be no wait until April 2016.

The Government could also consider derogation requests from the sector. We need a realistic timetable to meet increased commitment under the industrial emissions directive. Great work has already been done in this regard, and again companies have been penalised. I wish to commend Community the steel union for its work with Tata Steel to minimise compulsory redundancies at Dalzell and to look for redeployment and voluntary redundancies. That is an example of the close work that it has done with Tata Steel to ensure that the steel industry still exists in my constituency, albeit in a far, far diminished way. It is clear to me and other members of the all-party group for the steel and metal-related industry that this is a vital element in the struggle to save the steel industry in the United Kingdom as well. Various hon. Members have already referred to the good work done by the unions in this regard.

The Scottish Government are fully committed to ensuring that, within their devolved powers, the steel industry remains a vital part of the Scottish economy and they will engage with it and the UK Government as a part of that commitment. John Swinney, the Cabinet Secretary for Finance, Employment and Sustainable Growth, said:

“The Scottish Government recognises the importance of steel manufacturing to Scottish industry, particularly in the construction and growing renewable energy markets. We provide a wide range of practical advice and support to companies”.

There have been talks between Fergus Ewing the Scottish Energy Minister and Tata in Motherwell and discussions also with Community. I understand that Tata, Community, Scottish Enterprise and Government officials will be sitting down shortly to discuss a plan for the future to ensure due diligence in safeguarding the Scottish plants.

The UK Government have also expressed concern at the challenges facing the steel industry in the UK, but it is now time for action. The motion for this debate says that

“this House recognises the unprecedented gravity of the challenges currently facing the UK steel industry; and calls on the Government to hold a top-level summit with the key players from the steel industry to seek meaningful and urgent solutions to the crisis.”

I urge the Government to hold that meeting as a matter of urgency and to act quickly thereafter to address the industry’s concerns, thus safeguarding a vital industry and well paid jobs in both Motherwell and Wishaw, Rutherglen and throughout the UK. We in Motherwell and Wishaw know the heartache of steel closure and would not wish that fate on others elsewhere in the UK.