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PRIVACY
Manufacturing

Labour promises º£½ÇÊÓÆµ steel industry will be ‘backed not abandoned’

Keir Starmer is expected to visit Tata Steel’s giant Port Talbot plant today (Monday 23 October)

Tata steel works in Port Talbot, South Wales(Image: Jonathan Myers)

The º£½ÇÊÓÆµ can be a world leader in clean steel production, Labour vowed as the industry faces painful job cuts as part of the drive to lower emissions. Sir Keir Starmer will visit Tata’s giant Port Talbot plant in South Wales where he will promise the º£½ÇÊÓÆµ’s steelmakers are “backed, not abandoned”.

The Government last month announced it will pump up to £500 million into Port Talbot as part of plans to produce “greener” steel – but as many as 3,000 jobs could be lost. The taxpayer funding will help switch the plant’s two coal-fired blast furnaces to electric arc versions, which can run on zero-carbon electricity.

The firm, which employs around 8,000 people across the º£½ÇÊÓÆµ, will also invest about £750 million in the project. Electric arc furnaces (EAF) are mainly used to melt scrap metal for conversion into new products, while blast furnaces are used to create steel from iron ore and coke.

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Around 2,000 jobs are also reportedly at risk at Scunthorpe-based British Steel, according to the Sunday Times, although final decisions have not been made. A Government spokesman said: “Our commitment to the º£½ÇÊÓÆµ steel sector is clear, including announcing a major package of support on energy costs and recent Government financing to enable greener steel production by Tata Steel at Port Talbot.

“We continue to work closely with industry, including British Steel, to secure a sustainable and competitive future for the º£½ÇÊÓÆµ steel industry.”

Sir Keir is expected to meet representatives of the three main steelworkers’ unions – Community, GMB and Unite – during his visit to Port Talbot. A Labour spokesman said: “The º£½ÇÊÓÆµ can be a world leader in clean steel and our long-term programme of investment will safeguard jobs and help us lead the pack, not lag behind our competitors.

“Labour won’t stand aside. We will ensure the º£½ÇÊÓÆµ’s steel industry is backed, not abandoned. We’ll invest in the communities that are at the heart of the future by investing £3 billion over a decade to greening steel across the º£½ÇÊÓÆµ, from Port Talbot, to Rutherglen, to Scunthorpe.