Anger over £350k taxpayer handout for jobs axe plant
ROLLS-ROYCE IN GOVERNMENT GRANT ROW
Rolls- Royce received hundreds of thousands of pounds of public cash to train staff months before announcing mass redundancies at its Scots site.
The firm decided in April to slash 700 jobs at Inchinnan in Renfrewshire in response to the coronavirus pandemic.
But the cost- cutting comes despite the f irm receiving £ 357,011 from grants agency Scottish Enterprise this year to support staff development at the plant.
A t a x pa y e r - funded handout of £ 437,945 was also given in 2019 along with £ 802,110 in 2016 – taking the four- year total to £1,597,066.
Rolls-Royce has claimed it intended to repay money given by Scottish Enterprise to develop its engine services department.
A spokeswoman said: “We are having to resize our Civil Aerospace business to adapt to the unprecedented mediumterm impact of the Covid-19 pandemic on the whole commercial aviation industry.
“We are in regular dialogue with Scottish Enterprise and service aircraft engines. Rolls- Royce has said it is considering withdrawing its services capability from the site permanently.
The cuts are a massive blow to Scotland’s manufacturing and engineering industry.
The Scottish Government had hoped to build up the role of Inchinnan as a centre for Scotland’s most advanced industrial manufacturing.
Rolls-Royce has links to the materials research centre based in the area, which is part- operated by Strathclyde University. The firm is also a key private sector component of the Nat ional Manufactur ing Institute of Scotland, soon to be built at Inchinnan.
Management has insisted its commitment to the institute remains unaffected by the huge job losses.
A Scott ish Government spokesperson sa id: “We understand Rolls- Royce has conf i rmed with Scott ish Enterprise that it will repay funds received as appropriate.
“The affected employees at I nchi n nan rema i n our immediate priority.”
A spokesperson for Scottish Enterprise said: “Rolls-Royce has conf irmed it will repay grant funding where the contractual conditions of the grant cannot be met, as is normal practice with all of our grants to businesses.”