Redcar – the £80m question

SSI steelworks in RedcarImage copyright
Getty Photography

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Redcar faces Tough occasions with out the steelworkers

On 2 October – the same day the government tested that the SSI Steel plant in Redcar would shut for excellent – it also introduced an £80m make stronger package deal for town.

And even ahead of they’d spent a penny of it, the fund paid out a political dividend. The promised cash quick shifted the controversy from what must were finished to forestall SSI’s cave in to what occurs subsequent?

The comparability with previous threats to the steelworks In The north-east of England could not be starker.

Six years ago a Keep our Steel marketing campaign did just that – brought Steel production back to Redcar. This time, although Keep our Metal posters can also be viewed all across town, there appears to be little actual expectation that the trick can also be pulled off twice.

Redcar is left with a lingering feel of abandonment – and some crucial questions.

What Is The £80m truly for? How will or not it’s delivered and, possibly most crucially, can it truly make any real difference to the community’s future?

Tough questions

We already understand the problem is daunting – redeploy greater than 2,000 employees who are highly professional, But whose coaching is specific to an trade that has now long past.

However it’s going to get even tougher than that – It Can Be estimated via enterprise company Tees Valley Unlimited that 900 have misplaced their jobs In The supply chain, a host that rises daily.

Picture copyright
Ian Forsyth

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Shop Our Metal posters have long gone up across Redcar

In The Beginning, details of exactly how this fund can be spent have been uncertain. The Industry Secretary Sajid Javid’s authentic announcement stated handiest that “full important points of the bundle are being labored through”.

However now extra knowledge is beginning to emerge. £30m has been put aside for redundancy payments. £1.7m is being spent to lend a hand 50 former SSI apprentices finish their training at different employers. Much Less confidently, £2.4m has been earmarked for former Metal workers who “find themselves in concern”.

Some Other £16.5m is going on a “Jobs and abilities Fund” – to “lend a hand native corporations employ SSI workers or their spouses in full time or phase time jobs for at least three years.”

A Further £16m will present reinforce for firms Within The SSI supply chain who’ve been hit through the plant’s closure – and whose own workers might be going through redundancy before Christmas.

Meanwhile, £5.65m is happening re-training and £750,000 on individuals beginning new businesses. The Remainder £7m is thus far unaccounted for.

Picture copyright
Ian Forsyth

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The closure of the steelworks will likely result in knock-on job cuts throughout Redcar

But now it turns out the preliminary prices for redundancy funds have been overinflated. It Is now notion the total cost of redundancy payments is going to be nowhere near as much as had been initially put aside for them – and that could Mean Another £20m of the £80m unaccounted for.

Trade Minister Anna Soubry has given an assurance it’ll now not be stored back by Whitehall and will still go into the overall fund.

So up to £30m remains to be to play for.

What can this money purchase? Who’s Going to come to a decision? What’s Going To it be spent on, and by using when? These are the questions the local people needs solutions to.

Redcar just isn’t distinctive – an industrial town dealing with years of globalization. Unemployment and regeneration have been big issues here for years already.

It’s, however, a resilient and proud town.

In The subsequent six weeks Within The countdown to Christmas, We Will ask the residents what they need, what they are able to are expecting as we live their lives with them. We Will also ask what are cities like Redcar now for?

From now unless Christmas, the BBC’s Panorama programme will be in Redcar to record on life after a century of Metal making. Which You Can apply the story on the Panorama Facebook web page. Or search bbcpanorama on Snapchat.

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