News: Further reaction to Liberty Steel liquidation
Last week a judge approved an application from creditors to place Speciality Steel UK Ltd (SSUK) into compulsory liquidation.
An Official Receiver has been appointed as liquidator with Teneo Financial Advisory Limited appointed as Special Managers of the company, previously part of Liberty Steel and the GFG Aliiance, to assist the Official Receiver with the liquidation.
The court heard that the Department for Business and Trade had been preparing in the event of an Official Receiver being appointed, and was prepared to take control of SSUK’s affairs.
The company has operations in Rotherham and Sheffield. South Yorkshire's Mayor, Oliver Coppard, said that the news was "difficult, but offers the opportunity for clarity and a path forward. There is and will continue to be a period of uncertainty for workers at Liberty’s two sites in South Yorkshire.
"So I welcome the positive comments from the Secretary of State for Business in the wake of the Court’s decision.
"I now want to see swift progress from government to safeguard the unique steel making capabilities we have here in our region. I will be seeking a conversation with Ministers as a matter of urgency and will do everything I can to make sure that workers at Liberty Steel and the steel industry that is so integral to our identity, have the brightest possible future."
Secretary of State for Business, Jonathan Reynolds, has described the steelworks and its workers as important strategic assets for the UK, and wants them to have a strong future as part of the UK's overall steel strategy.
Advertisement
Liberty employs around 1,450 people within the Speciality business and provides a wide range of specialist steel products.
Speciality Steels provides vital steelmaking capacity in aerospace, defence and power generation. The steel made by Liberty Speciality Steels can be found in vessels including aircraft carriers, military aircraft components and defence systems, landing gear, controls and in components for oil and gas, power generation, rail and beyond.
UK Steel Director General, Gareth Stace, said: “UK Steel welcomes the Government’s recognition of the importance of the Liberty Speciality Steel assets and hopes that a new owner is found quickly and can inject the investment and working capital required to return production volumes to previous levels.
“The assets produce high quality, specialist steels that serve high value markets. The low production levels of recent years have left significant holes in the domestic supply chain that have been filled by imports. We hope to see these holes quickly filled by UK-made steel.
“The Government must continue to push on trade defence and reducing the burden of energy costs so that the Speciality Steels business, and the rest of the UK steel ecosystem, is sustainable, and steel workers will in future be spared from the limbo state that the employees in South Yorkshire have endured.”
Community General Secretary Roy Rickhuss CBE said: “This is an extremely worrying time for our members at Liberty Steel, but the Government’s intervention must mark a turning point to deliver certainty for these strategically important businesses.
“Crucially, jobs must be protected throughout any restructuring and transition to new ownership. Steelworkers at Liberty Steel are highly-skilled and hugely experienced; they are quite frankly irreplaceable and will be critical to delivering future success for the businesses.
“As a first priority wages must be paid and the outstanding twelve months of pensions contributions must be secured. Resolving pay and pensions is urgent and we are closely monitoring the situation, but in talks with senior officials we have received firm assurances that both matters are in hand.
“We welcome the Government’s intervention which is yet another demonstration of our Labour Government’s commitment to delivering for steelworkers and our vital foundation industry. However, in taking control of the business the Government has assumed responsibility for our livelihoods and our communities, and we will of course be holding them to account.”
Sheffield City Council Leader, Cllr Tom Hunt, said: "This will be a difficult period of uncertainty for the workers at Liberty Steel and we appreciate that the news yesterday will have caused concern.
"The Government have agreed to step in to safeguard jobs in the short-term. We hope this brings assurance for those who work there, as well as for those who live in the areas around Liberty Steel’s sites and rely on the steelworks for their own businesses.
"The steel industry is a big part of Sheffield’s past, present and future. We continue to work proactively with all stakeholders to safeguard the future of Liberty Steel, and the industry as a whole in Sheffield and South Yorkshire. We are committed to work alongside the Mayor of South Yorkshire Oliver Coppard and Cllr Chris Read and our colleagues at Rotherham Metropolitan Borough Council to ensure a viable path forward can be found for Liberty Steel and its dedicated staff."
Liberty Steel website
Images: Google Maps
An Official Receiver has been appointed as liquidator with Teneo Financial Advisory Limited appointed as Special Managers of the company, previously part of Liberty Steel and the GFG Aliiance, to assist the Official Receiver with the liquidation.
The court heard that the Department for Business and Trade had been preparing in the event of an Official Receiver being appointed, and was prepared to take control of SSUK’s affairs.
The company has operations in Rotherham and Sheffield. South Yorkshire's Mayor, Oliver Coppard, said that the news was "difficult, but offers the opportunity for clarity and a path forward. There is and will continue to be a period of uncertainty for workers at Liberty’s two sites in South Yorkshire.
"So I welcome the positive comments from the Secretary of State for Business in the wake of the Court’s decision.
"I now want to see swift progress from government to safeguard the unique steel making capabilities we have here in our region. I will be seeking a conversation with Ministers as a matter of urgency and will do everything I can to make sure that workers at Liberty Steel and the steel industry that is so integral to our identity, have the brightest possible future."
Secretary of State for Business, Jonathan Reynolds, has described the steelworks and its workers as important strategic assets for the UK, and wants them to have a strong future as part of the UK's overall steel strategy.
Advertisement
Liberty employs around 1,450 people within the Speciality business and provides a wide range of specialist steel products.
Speciality Steels provides vital steelmaking capacity in aerospace, defence and power generation. The steel made by Liberty Speciality Steels can be found in vessels including aircraft carriers, military aircraft components and defence systems, landing gear, controls and in components for oil and gas, power generation, rail and beyond.
UK Steel Director General, Gareth Stace, said: “UK Steel welcomes the Government’s recognition of the importance of the Liberty Speciality Steel assets and hopes that a new owner is found quickly and can inject the investment and working capital required to return production volumes to previous levels.
“The assets produce high quality, specialist steels that serve high value markets. The low production levels of recent years have left significant holes in the domestic supply chain that have been filled by imports. We hope to see these holes quickly filled by UK-made steel.
“The Government must continue to push on trade defence and reducing the burden of energy costs so that the Speciality Steels business, and the rest of the UK steel ecosystem, is sustainable, and steel workers will in future be spared from the limbo state that the employees in South Yorkshire have endured.”
Community General Secretary Roy Rickhuss CBE said: “This is an extremely worrying time for our members at Liberty Steel, but the Government’s intervention must mark a turning point to deliver certainty for these strategically important businesses.
“Crucially, jobs must be protected throughout any restructuring and transition to new ownership. Steelworkers at Liberty Steel are highly-skilled and hugely experienced; they are quite frankly irreplaceable and will be critical to delivering future success for the businesses.
“As a first priority wages must be paid and the outstanding twelve months of pensions contributions must be secured. Resolving pay and pensions is urgent and we are closely monitoring the situation, but in talks with senior officials we have received firm assurances that both matters are in hand.
“We welcome the Government’s intervention which is yet another demonstration of our Labour Government’s commitment to delivering for steelworkers and our vital foundation industry. However, in taking control of the business the Government has assumed responsibility for our livelihoods and our communities, and we will of course be holding them to account.”
"The Government have agreed to step in to safeguard jobs in the short-term. We hope this brings assurance for those who work there, as well as for those who live in the areas around Liberty Steel’s sites and rely on the steelworks for their own businesses.
"The steel industry is a big part of Sheffield’s past, present and future. We continue to work proactively with all stakeholders to safeguard the future of Liberty Steel, and the industry as a whole in Sheffield and South Yorkshire. We are committed to work alongside the Mayor of South Yorkshire Oliver Coppard and Cllr Chris Read and our colleagues at Rotherham Metropolitan Borough Council to ensure a viable path forward can be found for Liberty Steel and its dedicated staff."
Liberty Steel website
Images: Google Maps
0 comments:
Post a Comment