Harland and Wolff who built the Titanic are set to move into administration – London Business News | Londonlovesbusiness.com

Harland and Wolff who are the Belfast shipbuilders that built the Titanic has announced they are set to fall into administration.

The shipbuilder has said there will be between 50 and 60 immediate redundancies and those who are employed at the Methil on the Firth of Forth and Arnish on the Isle of Lewis, Scotland and one in Appledore in north Devon, England will not be affected.

A company statement said: “A full review of all group holdings commenced in July and has concluded that H&W Group Holdings PLC is insolvent on a balance sheet basis as per its last audited accounts and most recent management accounts.”

The interim executive chairman Russell Downs of Harland and Wolff said the company has faced a “very challenging time” and this is the second time the company has hit administration in five years.

Downs added, “It’s important to recognise that this is very difficult news for staff and will affect many within group.

“We will work to support our staff through this transition.

“We also know that it will be very unwelcome news for shareholders who have shown significant commitment to the business over the last five years.

“The board, the senior managers and rest of the team are committed to deliver the best outcome for the four yards and communities they serve to ensure their continued operation into the long term under new ownership.

“Unfortunately, extremely difficult decisions have had to be taken to preserve the future of our yards.

“Despite the recent challenges, the four yards have a strong capability, under new ownership and with the continuing support of their customers, to deliver UK-based ship building and leading UK-based renewables employing over 1,300 committed personnel.

“It’s critical that the business comes through its financial troubles to secure an enduring legacy worthy of its name and its past for the benefit of the UK as a whole and its communities in particular.”