THE decision to hand Spain a €165m deal to build steel parts for Britain’s taxpayer-funded wind farms has sparked outrage.
Scottish Power, which is owned by Spanish giant Iberdrola, has awarded the lucrative building contracts to a shipyard in Spain which is owned by the Spanish government.
Critics say it flies in the face of the UK Government’s strategy to support British jobs and the decision has caused a crisis at Newcastle-based OGN Group which had hoped to secure the investment and 2,000 jobs.
Mary Glindon, Labour MP for North Tyneside, said: “If the Government wants to ensure work comes to British workers they have to take a stronger line with these companies.
“Why should the British taxpayer give money to support companies unless there’s some material benefit to the UK? It’s not international aid, it’s business.”
Scottish Power will receive millions in taxpayer-funded subsidies over the 15-year project, which will see the creation of a wind farm in East Anglia.
OGN is asking the Government to deliver on its promise to support British business and the Northern Powerhouse.
Scottish Power said it awarded the contract based on Spanish company Navantia’s technical and economic competitiveness.
A spokesman added: “We are working with a range of UK suppliers and supporting major investment in UK infrastructure.
“It is not possible to award contracts to every UK company which tenders, especially if bids for contracts are not competitive.”