Feeds

Siemens to repay UK grant

German giant sent invoice for £18 million

  • alert
  • submit to reddit

Internet Security Threat Report 2014

Siemens has been ordered to repay £18 million of UK taxpayers' money used to build its now defunct Tyneside chip plant. The German manufacturer yesterday received an invoice for the return of the central government grant, which it has enjoyed interest free since 1996. Stephen Byers, the Trade and Industry Secretary, said Siemens had failed to meet conditions laid down at the time, according to reports in today's Daily Telegraph. Byers told the Commons the £18 million would go towards grants to attract other investment to the area. His own Tyneside North constituency is near the plant. The factory at Wallsend closed last year and over 1000 people lost their jobs. Siemens said it had always indicated that it would repay the cash should it be requested. The demand coincided with news that Siemens would open a joint chip venture with IBM in France. And the government found itself again accused of driving the company out of the country via the high exchange rate and increased costs in the UK. When Siemens first announced the Tyneside plant’s closure, ministers blamed a world chip slump, not government policy. Yesterday saw John Redwood, shadow industry secretary, accuse ministers of trying to suppress the truth. Last year, fears were raised that the real reasons for Siemens singling out the UK factory for closure were connected to reluctance to join the Euro in the early stages. Her Majesty's Loyal Opposition is, however, better known for its anti-Euro stance. Redwood went on to describe the factory in France as "an insult to the people of Tyneside." In its defence, the company said it had failed to find a similar joint venture partner in the UK. ®

Providing a secure and efficient Helpdesk

More from The Register

next story
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
'Cowardly, venomous trolls' threatened with TWO-YEAR sentences for menacing posts
UK government: 'Taking a stand against a baying cyber-mob'
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Arab States make play for greater government control of the internet
Nerds told to get lost in last-minute power grab bid at UN meeting
Zippy one-liners, broken promises: Doctor Who on the Orient Express
Series finally hits stride, but Clara's U-turn is baffling
Don't bother telling people if you lose their data, say Euro bods
You read that right – with the proviso that it's encrypted
Apple SILENCES Bose, YANKS headphones from stores
The, er, Beats go on after noise-cancelling spat
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
Win a year’s supply of chocolate
There is no techie angle to this competition so we're not going to pretend there is, but everyone loves chocolate so who cares.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.