Question

To ask the Secretary of State for Business, Innovation and Skills, what material and financial support his Department is providing to people made redundant in the steel industry; and if he will make a statement.

In relation to SSI’s closure in Redcar, I expect the majority of the fund announced on 2 October to go towards supporting training of former SSI workers and those in the supply chain, helping businesses to grow and create jobs, and the future of the Tees Valley economy more broadly. We are working with the local Task Force, chaired by Amanda Skelton, to shape these proposals and in total, we have agreed over £40 million of support aimed at skills and jobs creation:

• £3 million has been made available to four Further Education colleges in the region to support re-training activity, as well as a further £2.65m skills funding to plug any gaps in skills provision not available via the Further Education Offer;
• £1.7 million to ensure that the fifty apprentices who were with SSI can continue their apprenticeships with alternative employers;
• A £16.5 million Jobs and Skills Fund to help local firms employ former SSI workers or their spouses in full-time or part-time jobs for a minimum of three years;
• £16 million support for firms in the SSI supply chain and wider Tees Valley impacted by the Redcar steelworks closure, to safeguard jobs, provide the stimulus to create new posts and provide expert assistance to help them expand their business
• £750,000 to fund advice and grants to start up a new business.

In addition, we have announced a package, worth up to £9 million, jointly with Tata, to support Scunthorpe steelworkers, the local economy and supply chain. We are working closely with a local Task Force, chaired by my noble Friend Baroness Liz Redfern, to deliver this support.