Crisis talks continued at Harland & Wolff in Belfast last night as management, workers and politicians attempted to find a way to save the shipyard, which faces closure with the loss of 1,745 jobs. The company's management claimed the British government did not offer enough aid to help it secure a vital £400 million order from Cunard. The contract to build the Queen Mary II superliner for Cunard went instead to French shipbuilder, Alstom Chantiers de l'Atlantique.
Harland & Wolff's order book will be finished in June, and staff have already received 90-day redundancy notices. The company's Norwegian chief executive, Mr Brynjulv Mugaas, accused the British government of doing "too little too late". He condemned the "lack of ability or desire of local departments to demonstrate any realistic support". He said the assistance he had sought had been fully in line with EU rules but he believed the British government had failed to make the most of the EU legislation.
"The overall package forwarded by the UK government came as too little too late and failed to address, to any extent, key elements which we had advised were required by the potential customer," he said. He added that the company would continue "to pursue every opportunity vigorously" to win orders to secure its short and long-term future.
The British Prime Minister, Mr Tony Blair, rejected Mr Mugaas's criticisms: "We did everything we could. We are looking at what other help and assistance we can give, but we did everything we legitimately could. Obviously we are disappointed at the decision, though it is a decision by a commercial company."
The North's Economy Minister, Mr Adam Ingram, flew back from the Scottish Labour Party conference in Edinburgh yesterday for a meeting with Mr Mugaas. "Government offered Harland & Wolff an unprecedented level of support for its bid to win the Queen Mary II contract," he said.
He stated that this included £38 million sterling intervention-fund support - the maximum allowed by the EU - and the largest-ever loan guarantee - £400 million - for a project of this kind.
The Northern Secretary, Mr Peter Mandelson, said: "All the energies and all the commitment that I have will be devoted to finding orders and helping the management of Harland & Wolff to get out of this situation. We have had a body blow and I feel very upset by it but we keep our nerve, we rally, we focus, we put together everything that we have, the resources at our disposal."
The shadow Northern secretary, Mr Andrew Mackay, said Mr Mandelson should ask the European Commission to go over the French offer in detail to ensure it did not break any rules. The chairman of Harland & Wolff's senior shop stewards' committee, Mr Bobby Moore, said: "The workers are totally devastated. We had been hoping against hope that we would get the order for the Queen Mary II." The Democratic Unionist Party MP for East Belfast, Mr Peter Robinson, who was involved in last night's talks, said blame allocation was not constructive and everything possible should be done to save the 150-year-old shipyard.
Sir Reg Empey, of the Ulster Unionist Party, said the British government should do its utmost to place upcoming British Ministry of Defence contracts with the company to tide it over a difficult time. Progressive Unionist Party MLA Mr David Ervine said: "Belfast has a long and colourful history of shipbuilding and it would be a tragedy if this was allowed to founder."
Sinn Fein vice-president Mr Pat Doherty said the loss of the order would have "a devastating economic effect unless urgent action is taken". SDLP MLA Dr Alasdair McDonnell said the suspension of the North's executive could have cost the shipyard its future. Ingram pledge to save yard; Success story survived against all.