Act now or Britain will have no steel industry to save

“COMMERCIAL solution” for British Steel is “within reach”, says the Government, as it looks to nationalise the Chinese-owned business amid fears of an imminent closure.

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The company, owned by Jingye Group since 2020, revealed its plans to shut two blast furnaces and steel-making operations in Scunthorpe, putting 2,700 jobs - and many more in the supply chain - at risk, saying it was “no longer financially sustainable”.

In fact, the situation is so dire that Jingye warned the company will run out of raw materials within weeks.

Nationalising British Steel is absolutely the right move. Industrial heartlands are Labour's bread and butter and Starmer cannot afford to lose them. But let's be honest about this: British Steel has been struggling for years.

Worse still, the UK's steel industry is facing tariffs on exports to the US. So, the news of an impending deal is very welcome. Labour's commitment that steelmaking will “continue to be an important part of our economy for years to come” shouldn't be taken for granted.

But neither should it be cause for celebration. It's time to address some hard truths.