The UK Government has formed a new steel council to address industry challenges and support job security amid recent job losses
Port Talbot: The UK Government has kicked off a new steel council, bringing together big names like Tata Steel and British Steel. This comes after a tough year where thousands of jobs were lost in the steel industry.
The council aims to guide the future of steel in the UK, with a hefty investment of up to £2.5 billion. Business Secretary Jonathan Reynolds is set to lead the first meeting, emphasizing that steel communities are tired of constant crises.
Top executives from Tata and British Steel will meet regularly, along with union representatives and government ministers. They’re all in it together to find solutions.
Last year, Tata Steel announced it would switch from traditional blast furnaces to electric arc furnaces at its Port Talbot site. This change led to many job losses, as traditional steelmaking ended.
Meanwhile, British Steel is also moving away from blast furnaces in Scunthorpe, opting for a cleaner electric arc furnace. While these changes are better for the environment, they also mean fewer jobs, raising concerns about future layoffs.
The Labour Government is promising to invest £2.5 billion to help rebuild the steel industry, alongside a separate £500 million for Tata Steel’s new production methods.
The Steel Council, co-chaired by the head of the Materials Processing Institute, is gearing up to launch the Government’s steel strategy this spring. This strategy will outline how to boost steel production in the UK and make smart investment choices.
Mr. Reynolds stated that the goal is to stabilize the industry for the long haul, putting workers and communities at the forefront of their plans.
Gareth Stace from UK Steel called the council’s formation a pivotal moment for steelmaking in Britain, paving the way for a solid and sustainable future.
