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Economic Development

Lindsey Oil Refinery: Government 'being too quiet' on saving refinery, says council leader

Lindsey Oil Refinery is set to close at the end of the month with 125 staff issued with redundancy notices

Lindsey Oil Refinery, pictured in July(Image: Donna Clifford/GrimsbyLive)

A council leader says the Government is being "too quiet" regarding Lindsey Oil Refinery. The refinery, located near North Killingholme, is preparing to cut a third of its workforce by the end of the month.

Its long-term future remains unclear, with a sales process for the facility still ongoing. The independent Official Receiver is managing the situation alongside FTI Consulting, who serve as special managers.

Both the receiver and FTI Consulting were appointed by a court following the administration of Prax Group companies on 30 June, reports . The refinery falls within North Lincolnshire Council's jurisdiction.

Council leader Coun Rob Waltham, Conservative councillor for Brigg and Wolds Ward, has condemned the Government for its lack of engagement on the refinery matter. The refinery's largest creditors are HMRC, followed by oil giant Glencore.

He said: "They can't hide behind the Official Receiver anymore. The jobs are too important, strategic capacity around fuel refining is too important. The impact on our network and business opportunities, and even people getting to work is too important.

"They've now got to get rid of all this nonsense that suggests it's all tied up in myths and legends. Fundamentally, the Government is the biggest creditor in a business.

"There are businesses that are really keen to invest, to protect jobs, and fundamentally, the Government are being too quiet on it."

He said he believed the Government needed to be transparent about what it was willing to offer to encourage prospective investors.