Prax Lindsey Oil Refinery

Martin Vickers Excerpts

Tuesday 22nd July 2025 Commons Chamber

[Michael Shanks]

My hon. Friend is right, and it is deeply frustrating that we inherited many of these issues, which were unresolved for such a long time. These are not problems that arrived in the past 12 months. Bringing in the refinery sector for talks with Government about the challenges would have been a fairly obvious thing to do at least once in the past 13 years. Clearly, that did not occur to the previous Government, and we have inherited challenges.

My hon. Friend is right to say that consultations will take time, unfortunately. It is right that we conduct a proper consultation to make sure that there are not any unintended consequences. The Minister for Industry, who is a Minister in both the Department for Energy Security and Net Zero and the Department for Business and Trade, is looking at how we can do that as quickly as possible. I am happy to follow that up with her. My hon. Friend is also right that nobody wants to be talking about redundancies in any part of our economy, and we are doing everything we can to bring down prices to prevent redundancies.

[Martin Vickers (Brigg and Immingham) (Con)]

This is a massive blow to my Brigg and Immingham constituency—most particularly to those directly employed by the refinery, but also to the wider economy of the sub-region. Will the Minister reconsider what he just said about statutory redundancy? I want the maximum support given to those workers.

I will raise two other points. First, North Lincolnshire council published a green growth zone document last year about the future of the regional economy. As we discussed yesterday, I urge the Minister to consider an urgent meeting, at which all involved are brought in for a roundtable discussion. Secondly, if he is not doing so already, may I urge him to speak to his colleagues who are local government Ministers? North Lincolnshire council will lose £2.6 million in business rates. Needless to say, that is a massive blow that would affect the delivery of services.

[Michael Shanks]

I thank the hon. Gentleman for his questions, and for meeting me to discuss the matter yesterday. I appreciate the impact that the closure will have, not just on those refinery workers who are directly impacted, but on the wider economy. We absolutely appreciate that there are ripple effects from a closure like this.

On the statutory redundancy point, we have looked at this, and have pushed to see if there is more action that the Government can take to change or give additional payments. It is not possible for Government to do that, not least because the Insolvency Service has to follow specific rules on creditors and how they operate in the event of an insolvency. However, the owners of the company have profited from this business, and they should do the right thing by the workforce that delivered that for them.

I have agreed to hold a roundtable discussion, and I previously met the two council leaders to talk about this. I am happy to arrange that discussion, and to have it with whoever is useful and wants to participate, because the hon. Gentleman is right about the opportunities. I am happy to engage on the point about North Lincolnshire and business rates. Although the refinery will not continue to be a going concern, we are assessing bids from those who are interested in the site; we hope those bids will deliver jobs and economic benefit, and that business rates income will come from new industries on the site. That is not as good as retaining the refinery in its current form, but we hope we can make some progress.