Government 'aiding' NI textiles

Ian Pearson defended the government's input

A Stormont minister has defended the contribution of the British Government to manufacturing in Northern Ireland, following the latest jobs blow in the sector.

Enterprise Minister Ian Pearson was responding to claims the government should take some of the blame for the closure of the last Desmonds clothing factory in the province.

Nearly 300 jobs are to go with the closure of the plant at Newbuildings, outside Londonderry.

A cutting room at Springtown, Derry, where 16 people are employed, will also shut down.

On Wednesday, Allan Elliot from the GMB union said the government was "sitting back watching their workers being put out of work".

However, Mr Pearson said the government was doing all it could for manufacturing in the province.

Speaking later on Wednesday from Denver, Colorado, where he is on a Trade and Investment mission, Mr Pearson said it was "absolutely not true that this government isn't committed to the manufacturing industry".

"We are supporting manufacturing companies, but we have to support viable businesses going forward," he said.

"One of the problems with the textile industry is that global pressure are forcing radical change."

Pressures on margins, coupled with increased insurance, energy and social costs pose immense challenges to Northern Ireland manufacturing Desmonds

In a statement on Wednesday, Desmonds blamed "significant competitive pressures" for its decision.

"Pressures on margins, coupled with increased insurance, energy and social costs combine to pose immense challenges to Northern Ireland manufacturing," it said.

It added that the inevitable result of all those pressures was that products "cease to be viable when made in Northern Ireland and must be produced overseas".

Last year, Desmonds employed nearly 2,000 people at eight factories, mostly situated in the north west of Northern Ireland.

Since then, subsequent reviews have led to factories closing down.

Desmonds supplies Marks and Spencer and in the past has blamed cost pressures behind a decision to have many of its clothes made overseas.

In July, Desmonds' factory in Irvinestown, County Fermanagh, closed with the loss of 115 jobs.

That closure followed the shutting down of the firm's plants in Omagh, County Tyrone, and Swatragh, County Londonderry, in June.

Desmonds blamed a total of 500 jobs losses on foreign competition with work transferred to the company's overseas operations.

Earlier this year, the firm announced that more than 300 jobs were to go at two other plants.