1. ITV Report

West Cumbrian job losses avoided following collapse of British Steel

Credit: PA

Hundreds of potential job losses in west Cumbria have been avoided following the collapse of British Steel, according to the county's chamber of commerce.

TSP Engineering in Workington is a subsidiary of British Steel, which employs more than two hundred people.

British Steel had been seeking financial support from the Government, saying it faced a number of Brexit related issues.

“TSP is a profitable business with a healthy order book including significant contracts with the nuclear industry.

“Although owned by British Steel, it is a separate company with its own funds and isn’t in liquidation. We’ve spoken to TSP and it’s very much business as usual.”

– Rob Johnston, Chief Executive of Cumbria Chamber of Commerce
Credit: PA

The company is still in the hands of the Official Receiver after the High Court put it into compulsory liquidation on Wednesday, putting many jobs at risk.

TSP is not in liquidation and is trading normally.

The Official Receiver is looking to sell British Steel as an entity but, if it fails, it is likely to dispose of TSP Engineering separately to help pay the parent company’s debts.

The Government could argue that the steel industry is essential for national security.

“That argument isn’t helped by the fact that the high-strength steel for the Dreadnought submarines being built in Barrow isn’t made in the UK anymore. We’re importing it from France.”

– Rob Johnston, Chief Executive of Cumbria Chamber of Commerce