July 24, 2024
Sir Geoffrey met with the Minister of State for Business and Trade, Sarah Jones MP, to seek reassurances that the new Government will continue supporting Appledore Shipyard.
The Conservative Government, under Boris Johnson, having created an initial work stream for Appledore Shipyard with the £55 million refit of a Royal Navy Minehunter, then awarded Harland & Wolff (H&W) a £1.6 billion contract for the construction of the Fleet Solid Support ships, in the teeth of fierce opposition from Labour MPs and yards in Scotland and the North of England.
Labour has now refused to provide a vital loan guarantee to H&W, needed to provide working capital for investment and expanding its operation to carry out the defence contracts. No public money would have been required unless the company defaulted on the loan.
The last Government was still in discussion about the loan guarantee and had not made a decision at the time of the general election, although it was strongly supported by the then Secretaries of State for Business, Kemi Badenoch, and for Nothern Ireland, Chris Heaton Harris.
Sir Geoffrey described the decision as regrettable but said he had received the assurances he had sought and that he was content for now to take them at face value.
Sir Geoffrey said:
"The Minister told me she was confident Appledore Shipyard would remain open and would be able to carry out the construction of the Fleet Solid Support Vessels, which represents many years of work for hundreds of local people and exciting opportunities for dozens of local apprentices. I have no reason to disbelieve the assurances I have been given, but I shall be holding the new Labour Government to account for its promises in this regard and for the continuation of the many other investments scheduled for Torridge and Tavistock under the Conservative Government."
Sir Geoffrey remains vigilant in ensuring that the commitments made to Appledore Shipyard and the broader community of Torridge and Tavistock are upheld by the new Government.
