As British Aerospace Engineering announces redundancies at all of its sites, business leaders call for the government to reconsider a new Enterprise Zone in Lancashire. Nearly 3000 job losses have been announced at BAE sites across the country, with 565 job losses confirmed at Samlesbury, 900 at Brough and 843 at Warton. Those job losses will affect other businesses in the area, resulting in far greater losses to the UK economy.
In August this year, a bid for an Enterprise Zone in Lancashire failed, but according to the chairman of Regenerate Pennine Lancashire, Dennis Mendoros the decision needs to be reconsidered. Enterprise Zones were introduced to provide significant tax breaks, high speed Broadband and reduced planning administration, which will encourage the growth of new businesses. As the Zones are expected to attract a highly skilled workforce and create jobs in the locality, an Enterprise Zone could provide protection for the area in the face of so many job losses. Mendoros said:
“We need to do something urgently because this is a very challenging period. The losses will have a long term effect on the supply chain-for every one BAE job, there are four other jobs in this area directly affected-so you can see what a massive impact this will have.”
The workforce at BAE were informed of the redundancies by senior managers. BAE chief executive, Ian King said that the job losses were necessary as a measure towards long term security and being able to secure future contracts.
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