Melanie Onn, MP for Grimsby and Cleethorpes, has expressed concern after 125 redundancies were confirmed at the troubled Lindsey Oil Refinery.
The announcement, made yesterday, means a quarter of the workforce will lose their jobs this month, despite claims that at least one credible offer has been submitted.
Onn has called for transparency around what constitutes a credible bid and welcomed recent High Court action to freeze assets of the refinery’s former owner, while emphasising the site’s importance to the local economy.
Speaking to Gi Grimsby News, Melanie Onn said she is “deeply concerned” by the announcement.
“This morning, I spoke with the Department for Energy Security and Net Zero to seek greater clarity on the situation,” she continued. “I have been informed that the Official Receiver has taken this decision independently in order to give employees as much notice as possible while the sales process concludes. Most of the workforce will be retained beyond October and there is still hope that a long-term solution can be secured to protect jobs on the site.
“The Official Receiver is assessing bids for the future of the refinery and has confirmed they will continue to work with all bidders who bring forward credible and deliverable proposals. The Government has assured me that if such a bid is found, it will be considered in line with the Official Receiver’s statutory duty to deliver the best outcome in the liquidation process.”
Gi Grimsby News has seen documents suggesting a credible offer has been made, but the firm responsible says it has received no response from either receiver or any of the government agencies involved.
Melanie Onn continued: “I have asked that the Department and the Official Receiver to publish their criteria for what constitutes a credible bid, so that there is transparency and certainty for everyone involved.
“Earlier this month the High Court froze £150 million of assets belonging to Winston Soosaipillai, better known as Sanjeev Kumar, the previous owner of Prax Lindsey Oil Refinery. Those responsible for this injustice must be held to account and I’m pleased to see the Government pursing this on behalf of workers.
“Lindsey Oil Refinery is a vital part of the UK’s infrastructure and provides skilled jobs for many residents in Great Grimsby and Cleethorpes. We must do everything we can to keep the site open and ensure these jobs remain in our community.”
Part of the Gi Grimsby News team since 2020.