HC Deb 24 May 2002 vol 386 c629W
Dr. Stoate

To ask the Secretary of State for Trade and Industry if she will make a statement on the decision of Consignia to close the Dartford Parcelforce Depot. [57111]

Mr. Alexander

Parcelforce Worldwide is losing £15 million per month. Despite investment of around £200 million in recent years, Consignia has failed to turn its parcels operation around and a new approach was needed to restructure and re-position the business. Closure of Dartford depot in August will result in business moving to a nearby facility in Charlton.

The loss of jobs as a result of restructuring is regrettable. The company will offer as many as possible of those affected the option of continued employment with a different part of the business or a voluntary redundancy package.

The decision to restructure Parcelforce was taken by the Board of Consignia. The Government accepts that action is necessary to stem the company's losses. Undertaking this action is a commercial matter for the Board of Consignia.