The British government has decided that the state will not offer guarantee on new loans requested by the company Harland & Wolff shipbuilding. This was announced today by the Minister for Business and Trade, Jonathan Reynolds, in a written answer to a parliamentary question. Specifying that the officials of the Ministry "for several weeks have worked for a long time to secure a result for Harland & Wolff that safeguards shipbuilding and production throughout the United Kingdom and that protects jobs," Reynolds said explained that, "after the in-depth examination of a request by Harland & Wolff for an Export Finance Development Guarantee of the United Kingdom, Her Majesty's Government has decided not to proceed with the granting of a guarantee. This decision - the minister clarified - was based on an overall assessment of the company's financial profile, and on the criteria of our risk policy. In addition, we have decided not to to grant any form of financing for a provision of emergency liquidity".

"Even if this decision was not easy - he said continued by Reynolds - on the basis of the extensive commitment by the officials with market operators, it is my opinion that funding from Her Majesty's Government is not would necessarily guarantee our objectives and that There would be a very real risk that the money of the taxpayers are lost. In this case, the government considers that the market is best placed to resolve issues Harland & Wolff. In a press release On 19 July, Harland & Wolff announced that the company has entered into negotiations with its current creditors, Riverstone Credit Management LLC, to ensure the additional funding it needs. This should allow the company to continue to pursue its objectives in the short and short term. in the long term, in which the government continues to take an interest".

Specifying that, in all discussions with the officials of the Riverstone Credit Management has expressed its willingness to find solutions to achieve these objectives, the minister recalled that Harland itself & Wolff "said that the negotiations on new financing should be completed in the coming days. This - he Reynolds recalled again - will involve the immediate dismissal of the current CEO and the installation of a new management that pays particular attention to the recapitalization and to ensure sustainable financing".

Responding to the concerns expressed by workers of the shipbuilding company and the trade unions, the Minister said its officials have contacted the organizations trade unions represented in the company's four sites "to reassure them that the measures adopted by the company seem to me to offer by far the best prospects to ensure business continuity, safeguarding employment and completing the relevant contracts in progress". In particular, Reynolds did reference to the contract for the construction of new ships of the Fleet Solid Support programme for the Royal Navy which sees Harland & Wolff to collaborate with the prime contractor, the Spanish Navantia ( of 22 November 2019 and 26 May 2020).

"The shipbuilding sector - concluded Reynolds – supports 42,600 jobs nationwide, contributes £2.4 billion annually to the economy and represents an important pillar of our industrial base civil and defence. We are committed to supporting industries of Dynamic and successful shipbuilding and production and our skilled workforce that supports them, in all parts of the United Kingdom, in which Harland & Wolff has a role as a carry out".

Commenting on the minister's words, the national representative of the GMB union, Matt Roberts, pointed out that "these construction sites must be saved and their long-term sustainable future". The declaration is similar by Sharon Graham, general secretary of the Unite union: Harland & Wolff workers and the shipyards in which work - he underlined - are of fundamental importance Strategic. Five years after the guarantee of the survival of Harland & Wolff in Belfast obtained by Unite associates, Policy attention must now focus on attracting stakeholders committed to building a long-term future rather than on those who seek to achieve a rapid profit".