The UK government has taken British Steel into public ownership to safeguard the future of steel production in the country. The Department for Business and Trade (DBT) emphasized the importance of maintaining steel production at British Steel’s facility in Scunthorpe, Lincolnshire, and ensuring the stability of the company and UK supply chains. This move, facilitated by new legislation, has preserved numerous jobs at British Steel, following the government’s intervention last year to prevent the collapse of the steel industry by assuming control of the operations in Scunthorpe.

Keir Starmer expressed that British Steel is a vital part of the nation’s industrial heritage and emphasized that the decision secures the future of steelmaking in the UK, protects skilled jobs, and maintains a crucial national capability. The new law empowers ministers to transfer ownership of steel businesses to the public sector.

Business Secretary Peter Kyle announced the nationalization of British Steel to secure steelmaking capacity and uphold production in the national interest. He stated that British Steel now belongs to the British people, with a focus on stabilizing the business, supporting communities reliant on it, and fostering a sustainable, competitive, and environmentally friendly steel sector for the future.

Previously owned by the Chinese company Jingye, British Steel faced closure of its blast furnaces in Scunthorpe before special measures were approved by parliament to keep the plant operational. British Steel’s interim chief executive, Allan Bell, hailed the nationalization as a significant milestone for the company, its employees, customers, suppliers, and the wider community, underscoring its importance in securing the future of UK manufacturing and enhancing national security and infrastructure.