UK Steel has welcomed the Prime Minister’s recent announcement that the government intends to place British Steel under public ownership.
The Prime Minister stated that, as a commercial sale has not been possible at this stage, the ‘public interest’ test for nationalisation has now been met.
Director-General of UK Steel, Gareth Stace, said: “We strongly welcome the Prime Minister’s announcement to legislate for the nationalisation of British Steel. This provides vital certainty for the workforce, the company’s customers and the wider supply chain at a critical moment.
“Steel is a foundation industry and a recognised strategic national asset. Maintaining domestic production capability for British Steel’s products is essential not only for economic growth but also for our national security and resilience.
“Nationalisation is not an end goal. This must now be the beginning of a clear and credible long-term plan for British Steel. We need to see a detailed investment strategy that supports a managed transition to low-carbon steelmaking, and broader action to tackle the sky-high energy prices in the UK, which are undermining the competitiveness of the steel industry.”
UK Steel will continue to work with the Government and industry partners to ensure the intervention leads to a sustainable, competitive and low-carbon future for domestic steelmaking.
Stace concluded: “With the right backing and a supportive policy environment, the UK steel sector can be competitive, support thousands of high-quality jobs, and play a central role in delivering the UK’s industrial and decarbonisation ambitions.”
