Rachel Reeves MP, Chair of BEIS Committee, writes to Greg Clark, Secretary of State on GKN takeover

Rachel Reeves MP, Chair of the Business, Energy and Industrial Strategy (BEIS) Committee, has written [letter also attached] to the Rt Hon Greg Clark, Secretary of State for Business, Energy and Industrial Strategy regarding the proposed takeover of GKN by Melrose.

Rachel Reeves MP, Chair of the Business, Energy and Industrial Strategy (BEIS) Committee said: “The hostile takeover bid for GKN raises serious concerns about protections for our vital industries, not least for our industrial strategy, which requires high-skilled jobs in engineering, science and research. GKN is important for the automotive and defence sectors of our economy and the Secretary of State needs to provide assurances that Britain’s strengths in these sectors will not be undermined by a takeover or by asset-stripping”.

The correspondence asks about potential Government intervention in the proposed takeover, requests detail about discussions between the Secretary of State and GKN and Melrose on the takeover, and suggests the Government expand the current consultation on the national security and infrastructure review to include proposals to allow wider scope for Government intervention.