Prax Lindsey Oil Refinery

Scott Arthur Excerpts

Tuesday 22nd July 2025 Commons Chamber

[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.

[Dr Scott Arthur (Edinburgh South West) (Lab)]

I thank the Minister for his statement, and particularly for the news that there will be a thorough investigation. I have two quick questions. First, are the reports correct that the previous Government did not meet representatives of the sector for 13 years? I know the Minister said that he had met them recently. Secondly, families will be in crisis when they hear this news, and they will struggle to deal with it. Does he agree that the owner, who I understand is not short of money, has an absolute moral obligation to ensure that those families are supported? Statutory payments are welcome, but the moral obligation has to be made clear.

[Michael Shanks]

I thank my hon. Friend for both those points. My understanding from the sector and from the Department is that a meeting has not happened in the past 13 years. [Interruption.] If the right hon. Member for Louth and Horncastle (Victoria Atkins), on the Opposition Front Bench, wants to find me dates when her Government met the sector, I would be really happy to look at them, and at any minutes from those meetings. That would be helpful. There are particular issues for the sector, but also for individual refineries; some are more profitable than others, and some have transitioned to doing other pieces of work. It is important that they learn from one other, and that the Government do what they can.

On my hon. Friend’s final point, I agree that there is a moral obligation here. Having met the workers on the site, I know that they have done nothing wrong. They have worked hard over many years to keep the refinery going, and to deliver a profit. Those who have taken money out of that business should now do the right thing and fund those workers, and I hope that they will respond to my letter in due course.