Harland & Wolff must not go down like the Titanic, says ALEX BRUMMER

The demise of Harland & Wolff was a major blow to Belfast and the shipbuilding industry in Britain.

The prospects of any form of bailout by the government, or anyone else, will have been damaged by the revelation that £25m of funding was allegedly misapplied by previous management. Investors in the Aim-listed company will be wiped out.

PwC has been called in to assess the financial shenanigans. The accounting firm knows all about how money disappears after the acknowledged blunder at Chinese real estate giant Evergrande.

Despite the historical resonance of Harland & Wolff, it should not end like the Titanic.

At stake is the contract to build Fleet Solid Support ships for the Royal Navy’s aircraft carriers, which could end up in Spain if consortium partner Navantia were to strike.

A Labour government that makes unnecessary efforts to take Britain’s railways back into public ownership and promises to expand the UK’s defence capabilities should provide the necessary funding or loan guarantees to ensure the country’s survival.

Fiscal masochism poses a threat to jobs, Northern Ireland’s prosperity and the national interest.

It is encouraging that several potential buyers have emerged for the operating companies. It is axiomatic that the naval contracts should only be sold to British companies.

Babcock, which is responsible for much of the UK fleet, is the obvious candidate, even if public money has to be used as a lubricant.

Britain’s steel production and shipyards are vital to national security amid geopolitical turmoil on the high seas and in the heart of Europe.

The Starmer government must get its act together quickly.

Major expenses

Rachel Reeves can count on a lot of advice in the run-up to the October 30 budget.

She needs to put aside the overblown rhetoric about black holes. Borrowing and debt are too high and the Tories have left unfinished business.

But given the scale of the crises since 2008, the ratio of UK debt to national income is not catastrophic. It stands at 99 per cent of output, but could be significantly lower if the distortions caused by the Bank of England’s bond purchases are removed.

The debt-to-GDP ratio is lower than most G7 countries and only a fraction of the 250 percent at the end of World War II.

The Office for Budget Responsibility’s long-term debt projections published last week are based on biased assumptions about climate change and productivity.

Letters from economists to newspapers can usually be ignored. The latest letter from former Cabinet Secretary Gus O’Donnell et al to the FT does have some merit. It warns the Chancellor of the Exchequer against cutting limited public investment.

To increase productivity, infrastructure must be prioritized.

Reeves did not get off to a good start when she rushed to overhaul the road construction for the Stonehenge Tunnel, the A27 and the railway revival in July in her plan to restore the foundations.

The NHS needs investment in equipment and AI, not bigger budgets. Big infrastructure like HS2 can be made to work if it is managed well.

There is an urgent need for new nuclear power, including small modular reactors (SMRs), if Ed Miliband’s lukewarm support can be overcome.

It is all well and good to use pension fund investments to invest in infrastructure, climate change and IT.

The productivity imbalance between the South East and the rest of the country will only be addressed by government commitments to projects such as trans-Pennine rail links. The National Wealth Fund will be helpful but is woefully inadequate to the task.

Film noir

The Magnificent Seven’s assault on entertainment and sports has destabilized Hollywood’s content providers.

Warner Bros. Discovery has been hit hard, losing to Amazon in the auction for the National Basketball Association broadcast rights and capturing less than 5 percent of summer box office revenue. A blockbuster was needed to lift spirits and a weakened stock price.

In the release Beetlejuice Beetlejuice, it’s finally here. The sequel to Tim Burton’s 1988 hit grossed a record £110 million in the US after its September release.

It is expected to raise £191m when it goes global. Not a game changer for a 25% stock market loss this year, but proof that investing in creativity works.