Help deal for Corus workers threatened

May 23 2010 by Adrian Pearson, Sunday Sun

A CORUS cash handout intended to create thousands of long-term jobs is at risk.

Almost £40m of the Government’s £60m Corus rescue package intended to soften the blow of 1,700 redundancies is under threat.

Now the new coalition Government has been urged to promise not to target the unspent cash at it looks to make at least £6bn in savings this year.

Part of the problem rests in land deals which neither the Government nor Corus can agree on. A chunk of the jobs fund was earmarked to redevelop land at Corus and across Teesside.

The money would either be used to help attract thousands of offshore energy jobs by building roads and other infrastructure, or the Government could buy up the land directly if a developer couldn’t be found.

But Corus say previous promises to do everything they can to bring work back to Teesside could potentially be jeopardised if they sold off land.

Today the coalition Government was told to keep its hands off the uncommitted cash or risk bringing further misery to Teesside.

Multi-union chairman at the Corus Teesside Cast Products site Geoff Waterfield said it would be “criminal” for the coalition Government, which made a big issue out of support for Corus, to now take back the money.

He added: “It is very difficult to see where the money has gone so far, so it is not surprising that there are concerns now. There are just too many unanswered questions over this money.”

The £60m package was one of the largest support measures ever announced when Labour ministers confirmed it last December.