Quids in... as furnace shuts

Pollution permits can be sold on for profit

- NICK SOMMERLAD

It comes after steelmaker Tata raked in government subsidies of more than £1billion in the last four years in a failed bid to keep them open.

Indian-owned Tata will close the last furnace at the site by the end of the month, with the loss of 2,800 jobs.

It has been getting the equivalent of free “pollution permits” under the UK’s Emissions Trading Scheme.

These were designed to protect heavily polluting UK industries like steel from cheap imports from countries with weaker environmental rules.

But the permits, if not needed, can also be sold on to other companies with heavy carbon emissions.