The Government has formally brought British Steel into public ownership, declaring the move necessary to protect a critical national industry and safeguard thousands of skilled jobs.
The takeover follows fears that Chinese owner Jingye could close the company’s blast furnaces at Scunthorpe, threatening Britain’s ability to produce its own virgin steel.
Prime Minister Sir Keir Starmer said the intervention would secure the future of UK steelmaking and protect a “vital national capability”.
“British Steel is part of the fabric of our nation and a cornerstone of Britain’s industrial strength,” he said.
Business Secretary Peter Kyle warned that without government action the UK risked becoming “entirely dependent” on imported steel, leaving the country vulnerable to global supply shocks.
British Steel employs around 4,000 people across Scunthorpe and Teesside and supplies materials used in major construction, infrastructure and defence projects.
The move has attracted cross-party support, with politicians arguing that steel is a strategic asset rather than simply another commercial business.
However, ministers now face the challenge of making the company financially sustainable while managing high energy costs, global competition and the transition towards greener steel production.
The nationalisation marks a major shift in Britain’s industrial policy, with the Government signalling it is prepared to intervene to protect key sectors deemed essential to national security.
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