Steel Industry Bill right move to keep blast furnaces alight at Scunthorpe
Immediate release: 12th April 2025
Gareth Stace, UK Steel Director General, said:
“UK Steel welcomes the Steel Industry (Special Measures) Bill, which will allow the British Steel site at Scunthorpe to maintain operations while Government negotiations with the company continue.
“In particular, we appreciate the decisive action of the Business Secretary, Jonathan Reynolds, who has recognised the urgency of protecting our industry with this unprecedented recall of Parliament.
“A blast furnace is a dynamic piece of machinery. If the fires go out, it is nigh on impossible for it to be brought back to life – so a solution to keep them running is time-critical. It is, therefore, vital that the blast furnaces remain operational during negotiations, providing some security and breathing space in the short term, and this legislation will ensure this can happen.
“We encourage the Government and British Steel to work at pace on a long-term solution for the Scunthorpe site, which is critical in supporting thousands of jobs, national security of supply, the wider UK economy and many more people and communities in the supply chain.”
ENDS
Contact details
Jon Harrison, Regulatory Affairs Manager, UK Steel
0774 3829613 | jharrison@makeuk.org
Notes to editors
UK Steel will await the confirmation of further details from the Government on any potential agreement with the owners of British Steel before commenting further.
UK Steel is the trade association representing steelmakers in the UK. We proudly champion and celebrate the UK’s impressive steel industry. We provide a voice for steel producers of all sizes across every corner of the UK.
The UK steel sector:
- Produces 5.6Mt of crude steel a year, equivalent to 70% of the UK’s annual requirement (annual demand of 7.6Mt in 2023, of which 40% was met by domestically produced steel)
- Employs 33,700 people directly in the UK and supports a further 42,000 in supply chains
- The median steel sector salary is £37,315, 26% higher than the UK national median and 35% higher than the regional median in Wales, Yorkshire, and Humberside, where its jobs are concentrated
- Directly contributes £1.8 billion to UK GVA and supports a further £2.4 billion
- Directly contributes £3.4 billion to the UK’s balance of trade 96% of steel used in construction and infrastructure in the UK is recovered and recycled to be used again and again.
For further information about the steel industry, please see the UK Steel Seven Opportunities for Steel report, 2024 press pack, Why the UK needs a strong steel sector or the 2024 UK Steel Key Statistics report.