Shipyard behind Titanic could run out of cash in weeks
The Belfast-based shipyard, Harland & Wolff, is running out of cash, potentially risking hundreds of jobs. The company, best known for the ill-fated Titanic, is currently in crisis talks hoping to save it from collapse.
One of the unions that represents workers at the shipyard has sent a memo to members that hints that there is “only funding for the business until the end of the month,” calling on the government to step in. A review that will examine options for the shipyard by Rothschild bank is expected to be completed in the coming weeks.
The GMB union reiterated the severity of the company’s financial situation in a letter sent to the business secretary and defence secretary, calling the situation “critical,” adding that time is “fast running out for the UK government to find a solution.”
“Workers, families, and communities will potentially be thrown into turmoil once again, in just days or weeks, because of abject failure in national industrial strategy and corporate mismanagement,” the GMB said.
The firm’s main site is the historic shipyard in Belfast that built the Titanic. It also has yards at Appledore in Devon and Methil and Arnish in Scotland. It employs a total of 1,500 people.
The union memo sent to workers indicated that there had been 21expressins of interest from buyers for the company so far. In a letter to ministers, the GMB expressed concerns regarding any private bids for parts of the business.
“No private company in the bidding should be allowed to cherry pick what yards or contracts they wish to save – especially with huge taxpayer contracts in the mix,” it said. “All four Harland & Wolff yards are needed for our country and can thrive under a proper industrial strategy.”
Business Secretary Jonathan Reynolds told parliament earlier this year: “Government funding would not necessarily secure our objectives and there is a very substantial risk that taxpayer money would be lost. Ministers were working with the company, unions, and devolved governments to “support a positive outcome for all affected sites across the UK.”
