§ Mr. Gerald Bowdenasked the Secretary of State for Trade and Industry if the Government have yet determined their position on the closure of the Gartcosh steelworks; and if he will make a statement.
§ Mr. Michael Forsythasked the Secretary of State for Trade and Industry if he is in a position to announce the Government's decision over the future of the Gartcosh steelworks; and if he will make a statement.
§ Mr. Peter MorrisonThe report of the Scottish Affairs Committee on the closure of Gartcosh was published on 18 December 1985. The Government's position was explained in evidence to the Committee in November last year.
The Government have examined carefully the report, together with the evidence presented to the Committee which was made available on 20 December. While naturally we accept that there is always scope for alternative forecasts of demand and interpretations of the commercial background, the Government do not regard the arguments in the report and evidence as justifying intervention in BSC's decision to close Gartcosh.
The Government's view remains that the issues raised by BSC's decision to close Gartcosh are commercial, managerial and technical, rather than strategic, and that these issues are properly a matter for BSC. The Government naturally regret the effect of the closure on those whose jobs will be lost and BSC and others are doing what they can to alleviate the effects.
The closure of Gartcosh as well as other reductions in capacity and manpower within the strategy announced last August are necessary to improve BSC's competitive position and to help it attain financial self-sufficiency. BSC has very little room for manoeuvre if it is to achieve this objective, which the Government regard as the highest priority.