Sheffield jobs at risk as government department set to close
Department for Business, Innovation and Skills announces plans to close its Sheffield office
A union claims up to 250 jobs are at risk after the Department for Business, Innovation and Skills (BIS) announced plans to close its Sheffield office.
The building in St Paul’s Place is due to close by 2018, under plans announced today by the Department’s Permanent Secretary Martin Donnelly.
The Department will establish a central HQ in London in a bid to cut costs.
Labour MP for Sheffield Central Paul Blomfield told Hallam he's 'angry' at the decision: "It's madness. The London ecconomy is overheating and we need jobs in the North.
"It makes the Northern Powerhouse completely empty rhetoric. I've been arguing for quite some time that the government should be moving jobs out of London into the regions. I'm going to keep making the case that we need these jobs in the North."
Speaking at the Sheffield offices this morning, Mr Donnelly said: “Today’s announcement is part of implementing our BIS 2020 strategic plans to modernise the way we work, reduce operating costs and deliver a simpler, smaller department that is more flexible and responsive to stakeholders and businesses.
“Our operating model needs to be designed in a way that works for this smaller workforce with more streamlined structures.
“The decision to close Sheffield by 2018 has not been taken lightly. The unions are being consulted and will be involved throughout the process.
“It is my top priority that all our staff are fully briefed and consulted on the process. We will provide comprehensive support to all those facing a potential change or loss of job.”
The move has been criticised by Sheffield Hallam MP Nick Clegg, who said: **"I understand that Government departments have to reshape to save money, but centralising departments in London is the wrong thing to do. This flies directly in the face of the Northern Powerhouse agenda.
"I want to be clear that no one ever put this to me in Government and I would not have agreed to it if they had."
In a statement, the Public and Commercial Services union says the move will put up to 250 jobs at risk.
General secretary Mark Serwotka said: "The business department is supposed to lead the way in helping local economies grow after the recession, yet it is retreating from towns and cities across the country.
"We do not accept the need for these offices to close and for jobs to be at risk and will be opposing these moves."
Sheffield City Council is now calling on the government to 'immediately drop' the proposals.
Leader of the Council, Cllr Julie Dore, said: “It makes no sense to take these jobs from the north and give them to the south.
“I am writing to the Secretary of State making it clear that this is unacceptable and yet again the actions of this government speak far louder than their empty words about commitment to the north.”
The BIS Department also intends to establish around six business centres across the country.