Stay up to date with notifications from The Independent

Notifications can be managed in browser preferences.

Cammell Laird closure to end Mersey shipbuilding

Michael Harrison,Industrial Editor
Wednesday 02 December 1992 19:02 EST
Comments

Your support helps us to tell the story

From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.

At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.

The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.

Your support makes all the difference.

THE DEATH KNELL sounded for shipbuilding on Merseyside yesterday with the announcement that the Cammell Laird yard in Birkenhead will close next year. Nine hundred jobs will be lost in an area where unemployment is running at 11.8 per cent.

Cammell's owner, VSEL, blamed the closure after 160 years on the recession and the refusal of the Government and European Commission to grant subsidies.

VSEL warned two years ago that Cammell would close once its warship order book was completed, unless a buyer was found to convert the yard into a merchant ship builder.

The closure of the yard, which employed 40,000 in its heyday, will mark the end of an era.

The yard built its first vessel, an iron barge, in 1828. Some of Britain's most famous ships have rolled down the slipway, including the first Ark Royal aircraft carrier, two of the four Polaris nuclear missile submarines - Revenge and Renown - and the Conqueror, the nuclear-powered submarine that sank the Belgrano during the Falklands war.

Noel Davies, chief executive, blamed the demise principally on the EC and Government's refusal to allow Cammell access to the shipbuilding intervention fund. It did not qualify because it was designated a warship yard at privatisation, but Mr Davies said it could have been sold three times over had it been eligible.

Other factors were the recession, which dissuaded potential buyers, and uncertainty over the pounds 2bn Point of Ayr gas field development in Liverpool Bay, which would have provided orders.

Frank Field, Labour MP for Birkenhead, blamed the company, saying: 'We are not going to roll over and die because VSEL have decided that is best for them.' The yard's joint shop stewards committee will meet Wirral MPs next week to draw up plans to keep the yard alive.

The yard, one of the last remaining shipbuilders in Britain, is due to close in July once construction of a Royal Navy replenishment ship and the submarine Unicorn is complete.

VSEL hopes to redevelop the 154-acre site for mixed industrial, leisure, retail and housing use.

Jaguar will cut 200 jobs next year from the Radford engine building plant in Coventry.

The Post Office is to make 1,000 counter staff redundant, according to Peter Hain, Labour MP for Neath, with the bulk are expected in Wales. The Post Office denied a report in the Daily Mirror that it planned to shed up to 30,000 jobs, a sixth of the workforce.

Bitterness returns, page 2

Join our commenting forum

Join thought-provoking conversations, follow other Independent readers and see their replies

Comments

Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged in