Skip to main content

Proceeding contribution from Mark Tami (Labour) in the House of Commons on Thursday, 1 March 2007. It occurred during Adjournment debate on Welsh Affairs.


Welsh Affairs

Unfortunately, it does not cover Denbighshire, but it is a region that has seen economic growth outstripping even that of south-east England over the past 10 years. Most experts and analysts expect to see that growth continue into the future, but we cannot be complacent and think that that will somehow carry on if we do not invest in our future by investing in industry and business, as well as the work force, including our potential work force. We need to heed the lessons of the past. Under the Tory Administration, we saw our major employers in north-east Wales decimated, our mining industry wiped out, our textile industry suffering the same fate and our steel industry, once the powerhouse of the region, suffering more than 8,000 job losses, which is still the record for the largest number of job losses in the UK at a single plant on a single day. I am afraid that that is the Tory record. Those were not only years of disastrous Tory Government but years of underinvestment in which we failed to understand or grasp the challenge or the threat of overseas competition. We failed to train and equip our young people with the skills that they needed to be part of a modern and dynamic economy. In areas of high unemployment such as mine, we embedded an attitude that I would describe as poverty of aspiration or ambition. That was particularly true of the young. Much has changed since those dark days of the 1980s. Earlier this week, I was pleased to attend the launch by the Chancellor of the Exchequer and Andrew Davies from the Assembly of the new Toyota Arius in Derby and the joint announcement of further expansion and investment in the Toyota engine plant on Deeside, creating more than 100 new jobs and helping to secure the future of the plant. That investment has come thanks to a combination of factors: an efficient engine plant that has experienced dramatically rising productivity over recent years; a successful and growing UK economy where companies know that they can invest with confidence and certainty; and, importantly, support provided by the Welsh Assembly Government. That is joined-up government or, more to the point, joined-up Labour government—a Labour-led Assembly working with a Labour Government here to delivery growth and, importantly, jobs in north Wales. Yesterday, Airbus announced the ““Power 8”” restructuring programme, which has major implications for more than 7,000 workers employed at Broughton and more than 6,000 workers at Filton, near Bristol. I do not downplay the job losses announced, which represent a reversal, after many years of growth, since the dreadful events of 9/11, which affected the entire world’s airline production business. I am confident, however, that those job losses can be achieved, through discussions with the trade unions, by voluntary means. I will certainly get involved in seeing how we can minimise the impact. On the positive side, and in sharp contrast to some of the reports that we have seen in national newspapers, the UK remains the centre of excellence for wing and propulsion systems. Broughton has been recognised as a core site within the Airbus business. There will be substantial investment in Broughton to do with the A350 programme. At Filton, the development of a composite design and manufacturing facility means that the UK will retain an involvement in design, manufacturing and assembly for the next generation of wings. I do not underestimate the challenge that we face from Airbus partners in Germany and Spain for such work, but we will be in a position to fight our corner. The important aircraft coming up after the A350 will be the replacement for the A320, which is the workhorse of aircraft fleets around the world. I am sure that I can rely on support from this Government to ensure that we secure our share of that work, which will be vital for the future. I ask my hon. Friend the Minister to press colleagues in the Department of Trade and Industry to continue to invest in composite technology to secure the future of all our UK plants. I place on record my thanks to the Secretary of State for Trade and Industry for his work and assistance over recent weeks and months. I am sure that, thanks to his help, we have money to secure a more beneficial outcome than we may have seen and that many in the press thought we were likely to see. When we hit difficulties, we sometimes lose sight of the great progress that we have made. The West factory at Broughton is the largest factory built in the UK over recent years, costing more than £350 million to build and equip. Overall, we have seen more than €2 billion-worth of capital investment over the past nine years. Although Airbus has hit difficulties with the A380 and the redesign of the A350, and there have been problems with the dollar exchange rate, 2006 was a record year for deliveries of aircraft. We should not lose sight of that. Where we have had success, we must maintain it, but also look to build on it and encourage others to site in our areas. Thanks to Airbus, we have a cluster of aerospace companies around Broughton—local suppliers including Magellan, Tritech, RD Precision, Metal Improvement Company and Electroimpact. As a result, more than £6 million a week overall is spent in the local economy. I am delighted that, despite the current difficulties, the company is carrying on its recruitment of the next generation of apprentices. Currently, Airbus has over 450 apprentices and over 6,000 have gone through the system in the past three decades—as I said, if only the rest of industry could follow that example. It has a good working relationship with Deeside college, North East Wales Institute and Yale college. Again, that could be used as a model. I have mentioned that over 2,500 young people attended an event this week looking to become apprentices at Broughton. That shows the confidence that is there. It has been a difficult period for Airbus, but I am sure that we can secure the future. I wanted to talk about many other issues today, including the steel industry and the need for more affordable housing, but unfortunately they will have to wait for another day, as I am aware that many other colleagues wish to speak.


Secondary information

Type
Proceeding contribution
Reference
457 c1162-4 
Session
2006-07
Chamber / Committee
House of Commons chamber
Subjects
Crime Armed forces Agriculture Climate change Devolution Employment Health services Education Further education Energy Higher education Economic situation Job creation Local government Police Manufacturing industries Prisons National Assembly for Wales Proportional representation Schools Training Wales Welsh language Renewable energy Airbus UK Literacy Plaid Cymru Numeracy
Link
View this Proceeding contribution on www.publications.parliament.uk