Harland & Wolff: Departing chief of Titanic shipbuilder issues parting shot as collapse averted
The former chief executive of Titanic shipbuilder Harland & Wolff has issued a parting shot in his first comments after being ousted from his role.
John Wood took to social media today after officially stepping down from his position on August 1. He had not been involved in the day-to-day running of the company since July 19.
In a LinkedIn post, Wood said that when Harland & Wolff acquired the Belfast site it “should have unlocked funding to grow the business to the next level as was agreed with the PM and his advisors at the time”.
However, the former CEO added that “unfortunately with changing leaders across different parties and different priorities the commitment disappeared”.
The deal was agreed when Boris Johnson was Prime Minister in December 2019.
Wood had been chief executive since 2018 and has previously worked for InfraStrata, Teramar, Aurecon and BAE Systems.
Ex-Harland & Wolff CEO laments ‘disappearing commitment’ from govt
In a post on LinkedIn, Wood said: “As I reflect on my H&W journey, we built the company to a forecasted turnover of around £200m this year from zero, across five markets with a backlog approaching £1bn creating over 1500 jobs and hundreds of apprenticeship’s. Winning some significant contracts along the way.
“Delivering on our five-year plan agreed with government when we acquired the Belfast facility, which should have unlocked funding to grow the business to the next level as was agreed with the PM and his advisors at the time.
“Unfortunately with changing leaders across different parties and different priorities the commitment disappeared.
“There was no surprise, shock or panic – everyone knew five years ago of what the needs of the business were in the long term.
“The hard working team have shown what can be achieved, however without support for the industry like our European neighbours receive it is a tough ask to rebuild an industry that has been in decline for several decades.
“Thank you to the entire team, who have worked day and night over the past few years to ensure four sites of significant national importance were saved from numerous alternative uses being discussed and demonstrating with grit and determination that UK shipyards can still compete in the commercial market.
“I will take a bit of time out before deciding on what my next challenge will be.”
Titanic shipbuilder staves off collapse
Wood’s official departure comes after the crisis-hit company secured an additional £19.5m from its lenders as it battles to stave off administration.
At the start of the month the company said it had entered into agreements with its existing US lenders to increase its credit facility by $25m (£19.5m), bringing the total to $140m.
It is thought a condition of the agreement was the departure of Wood, who left on 19 July following the new Labour government’s decision to not provide a £200m loan guarantee seen as critical to the company’s survival.
The termination of Wood’s contract was confirmed on August 1.
Harland and Wolff has appointed Rothschild and Co as financial advisers as it assesses its options.
Falkland Islands port contract worth £120m lost
Earlier this week, the Falklands government said it had ceased negotiating with Harland & Wolff over a potential £120m contract.
The Belfast shipyard was awarded “preferred bidder status” for a project to re-develop a port in the Falklands Islands capital, Stanley, in early March.
Shares in Aim-listed Harland are currently suspended after it failed to produce audited annual results. Its most recent unaudited report revealed pre-tax losses of £43m in 2023.