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North East factory faces closure as manufacturing jobs shipped abroad to France and Greece

A British factory faces closure in weeks after the Government opted to send pipes for one of its eco-projects on gas-guzzling HGVs to Europe rather than to the North-East of England.

Sources inside the Wasco Coatings UK factory have told GB News that they now have just “four weeks” worth of work left – after which their order book will be “empty”.


Loyal staff say it’s “heartbreaking” to know that the pipes for carbon capture and storage will now be “coated overseas” when the work could have been completed in Hartlepool.

The factory is now nearing closure after Government contracts were given to firms in France and Greece.

The decision not to award the factory the target contract goes against manifesto pledges made by Labour and now Secretary of State for Energy Security and Net Zero Ed Miliband in the last election manifesto. The party promised to generate “new high-quality jobs” and “reward clean energy developers” like Wasco Coatings UK for building in industrial heartlands, supporting British industry through the green transition period.

Yet while factory workers face job losses in Hartlepool, the Northern Endurance Partnership (NEP) which is accountable to the UK government’s framework and tasked with green growth and contract allocation in the North-East, claims it is still “on track” to meet its ambition of more than “50 per cent” local content, whilst ensuring ‘value for money’ for the taxpayer.

Politicians across the political spectrum have slammed the decision as a “betrayal of British workers”.

Shadow Secretary of State for Energy Security and Net Zero, Claire Coutinho MP, said: “Ed Miliband promised to create hundreds of thousands of jobs in the election – but he’s spending billions of pounds of taxpayers’ money to pursue crazy Net Zero targets that are creating jobs anywhere but in Britain.”

Wasco Coatings factory worker

The Wasco Coatings factory is now nearing closure after Government contracts were given to firms in France and Greece

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WASCO COATINGS

“Jobs are being offshored to China, France and Greece while British industry goes under thanks to Ed’s policies.”

Ms Coutinho added: “No wonder his friends in the trade unions tell him his plans amount to exporting jobs to import virtue.”

Specialist pipes used for Carbon Capture and Storage (CCS) are set to be transported from Hartlepool to France and Greece for coating, making round trips of 1,500 and 4,000 miles, respectively.

Pipes are typically transported by road. According to a formula used by company Commercial Motor, a single 1,500-mile round trip to France by one heavy goods vehicle (HGV) alone emits approximately 1.9 metric tons of CO₂, while a 4,000-mile trip to Greece results in 2.5 to 3.0 metric tons of CO₂ emissions.

Ed Miliband in Westminster

Ed Miliband has been accused of breaking his party’s election manifesto pledge

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PA

Reform UK Deputy Leader, Richard Tice said: “The hypocrisy of red Ed’s net zero obsession is laid bare for all to see.

“Not only is his crusade not creating the promised jobs for British people, but it is also actually increasing our carbon footprint.”

Mr Tice added: “The best way to create jobs, bring down bills and revive British industry is to scrap Net Zero and invest in our oil and gas industry.”

Liberal Democrat MP, Sarah Olney told the People’s Channel: “Businesses like this in Hartlepool are struggling and need the Government to back them.

“We are seeing too many contracts going overseas, and with them hundreds of jobs.”

Back in 2023, Labour unveiled its “British Jobs Bonus” to reward clean energy firms investing in coastal and industrial towns, promising skilled roles for UK builders, sparkies, and engineers.

Independent analysts at Transition Economics said the plan could have generated up to 65,000 clean energy jobs by 2030.

Angela Rayner said during a visit to Hartlepool: “We’ve got the investment, we’ve got the workforce, and we’ve got a prime industrial location right by the North Sea.”

However, the Trade Union Congress (TUC) reports nearly 15,000 manufacturing jobs are at direct risk of offshoring due to decarbonisation pressures, with many related supply chain roles also vulnerable.

Hartlepool’s Labour MP, Jonathan Brash warned his own government in June that despite “significant investment” by Wasco coatings in anticipation of the ambitious Net-Zero plans on Teesside, there is a “distinct possibility” that the contract could go abroad.

A Department for Energy Security and Net Zero spokesman said: “Our thoughts are with any workers affected by this commercial decision, and we stand ready to support them through our Rapid Response Service.

“We are delivering first of a kind carbon capture projects in the UK, working with industry to build robust domestic supply chains, reignite industrial heartlands, and tackle the climate crisis, while ensuring good value for money for the British taxpayer.”

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