British Steel has been taken into public ownership by the government to safeguard the future of steel production in the UK. The Department for Business and Trade (DBT) emphasized the importance of maintaining steel production at British Steel’s site in Scunthorpe, Lincolnshire, to secure the company’s future and protect UK supply chains. This decision, made possible by new legislation, has preserved numerous jobs at British Steel, following the government’s intervention last year to prevent the collapse of the steel industry by assuming control of the business in Scunthorpe.
Keir Starmer expressed the significance of British Steel in the country’s industrial landscape, highlighting that the move ensures the continuation of steelmaking in the UK, safeguards skilled jobs, and protects a crucial national capability. The new law empowers ministers to transfer ownership of steel businesses into public hands.
Business Secretary Peter Kyle stated that the nationalization of British Steel aims to maintain steelmaking capability and production in the national interest. He emphasized that British Steel now belongs to the British people, with a focus on stabilizing the business, supporting the communities it serves, and fostering a sustainable, competitive, and environmentally friendly steel sector for the future.
Previously owned by the Chinese company Jingye, British Steel had planned to close its blast furnaces in Scunthorpe last year, until special measures legislation was approved to keep the plant operational. Interim chief executive Allan Bell hailed the nationalization as a historic day for British Steel, its employees, customers, suppliers, supply chains, and local communities, emphasizing its role in securing the country’s future, enhancing national security, and fortifying infrastructure.
