Reports that more than Â£5 million of public money has been lost in supporting Swansea-based steel firm, Kancoat, has been described as “more than an isolated blip” by Shadow Cabinet Secretary for Economy, Russell George.
Kancoat received Â£3.4m from the Welsh Government and later went into administration incurring a further Â£2 million charge to surrender the lease on the building early.
Reacting to the news, the Welsh Conservative Spokesman for the Economy, Mr George said:
â€œThis is one of a long line of failings by Welsh Government to adequately monitor the spending of public money. From Kankoat to the Circuit of Wales, Triumph Furniture and Natural Resources Walesâ€™ timber contracts, it is deeply troubling that the Welsh Government has failed to get a grip on its obligations to the Welsh taxpayer.
“These revelations expose a pattern in the Welsh Government which shows that it is not an isolated blip. We have already seen major failings with decision-making. The Welsh Government’s record is littered with expensive errors, miscalculations, poor performance and an unguarded attitude to risk.”