A Bill to grant the Government powers to nationalise steel
companies such as British Steel, subject to a public interest
being met, will be introduced to Parliament today (14 May),
marking an important step towards safeguarding the long‑term
future of the UK steel industry.
The Bill will have its First Reading – its formal introduction to
Parliament – today, with its Second Reading expected to take
place in the near future where MPs will have their first
opportunity to debate the Bill and give their opinions.
Safeguarding Britain's steel capability and capacity is firmly in
the national interest. The Bill provides the Government with a
route to bring steel companies, such as British Steel, into
public ownership where this is necessary and when a public
interest test is met.
The legislation builds on the Government's Steel Strategy,
launched in March, which sets out a long‑term plan to revitalise
the UK steel sector, restore domestic production to sustainable
levels and secure steel's role in critical sectors including
national infrastructure, defence and clean energy.
Industry Minister said:
Revitalising our steel sector is a top priority for this country,
and this is an important first step to safeguard our steelmaking
capability which would allow us to secure the future of British
Steel and explore possible options to modernise the industry.
The fact this is one of the first of all the Bills announced
yesterday to start its passage through Parliament shows this
government is serious about securing Britain's domestic steel
production, and we're putting it right at the top of our agenda.
Director General of UK Steel Gareth Stace, said:
We strongly welcome the Prime Minister's announcement to
legislate for the nationalisation of British Steel. This provides
vital certainty for the workforce, the company's customers and
the wider supply chain at a critical moment.
Steel is a foundation industry and a recognised strategic
national asset. Maintaining domestic production capability for
British Steel's products is essential not only for economic
growth but also for our national security and resilience.
The Bill will apply across the whole of the UK and includes
provisions for independently assessed compensation where its
powers are used.
Steel remains a cornerstone of Britain's economy, supporting
around 37,000 direct jobs and more than 60,000 jobs across supply
chains. But years of global overcapacity, unfair competition and
high operating costs have made it harder for UK‑based steel
companies to compete and invest.
