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Trade unions exposed the “madness” of Con-Dem plans to close two of Britain’s last coal mines yesterday after revealing that it would cost more than keeping them open.
Government plans for a “managed closure” of the Kellingly and Thoresby deep pits owned by UK Coal next year will dump 1,300 miners on the dole.
That would leave a £75 million black hole in the public purse from income tax and national insurance payments lost between 2016 and 2018 — and taxpayers will be forced to pick up the unemployment benefits bill for redundant workers.
But the report commissioned by the Trades Union Congress proved how using state aid to keep the mines open until at least 2018 was cost neutral.
It showed investment of up to £74m would be easily covered by the £86m in extra profits expected to be made during this period on top of regular revenues of £500m.
TUC general secretary Frances O’Grady said it was clear coal-mining in Britain had a future if the government wanted it to.
“Recent events in the Ukraine should have made clear the importance of having a secure domestic energy supply,” she said.
“Instead the government is allowing two of Britain’s three remaining coal mines to close, causing the unnecessary loss of 1,300 skilled jobs and leaving us even more exposed to fluctuations in the price of imported coal.”
The Star revealed last month senior European Commission officials said state aid rules would allow the mines to be saved.
They assured that a state aid application would be fast tracked to National Union of Mineworkers officials and Labour MEP Linda McAvan at meetings in Brussels.
And Germany, Spain, the Czech Republic, Poland, Hungary, Romania, Slovenia and Slovakia have all had state aid for coals mines approved, the TUC pointed out.
Ms O’Grady added: “It would madness to allow the closure of British mines when countries like Germany and Spain are using far greater
