An uncommon weekend parliamentary session has been summoned to deliberate on the future of British Steel’s Scunthorpe steelworks. The critical situation revolves around the provision of raw materials to maintain the operation of the blast furnaces. British Steel has been discussing several options, including the cessation of its blast furnaces, reduction in steel rolling mill capacity, and the overall steelmaking operations. This could directly impact up to 2,700 jobs.
Negotiations between Jingye Group, the firm’s owners, and the government are ongoing, focusing on a support package aimed at facilitating a shift towards environmentally friendly steelmaking through electric arc furnaces. Several reports suggest that British Steel has ceased ordering raw materials for the blast furnaces, with a rapidly closing window to place an order and avoid shutting down the furnaces in mid-May.
MPs have been called back from their Easter break to Westminster, with the session scheduled for 11am on Saturday, April 12. There is growing support for the nationalisation of British Steel if a satisfactory agreement with Jingye cannot be reached. Prominent voices in favour include those of Martin Vickers MP, Reform UK, and the UK’s largest steelworkers’ union, Community.
A ‘terror law’ has been speculated as a last resort option by the government for the emergency nationalisation of British Steel. However, Industry Minister Sarah Jones has stated that while ‘all options’ are being considered, the preferred outcome is to reach a deal.
This story was adapted by The Lincoln Post from original reporting by www.grimsbytelegraph.co.uk.
