'A new chapter beckons' at British Steel

19 hours ago

Charis Scott-Holm and Holly Phillips,East Yorkshire and Lincolnshireand

Simon Spark and Paul Murphy,Scunthorpe

British Steel has been the subject of cost-cutting discussions and government intervention in the past

Christopher Furlong / Getty Images Steam comes out of huge towers in a wide shot of Scunthorpe steel works against a cloudy sky in 2023. — British Steel has been the subject of cost-cutting discussions and government intervention in the past

Workers, community leaders and political figures have cautiously welcomed news of the government's plans to nationalise British Steel.

The steelworks, which employs around 2,700 people in Scunthorpe and supports many more across north Lincolnshire, has faced repeated questions over its future in recent years.

Earlier, Prime Minister Sir Keir Starmer said legislation would be tabled this week to give the government powers to take "full ownership of British Steel", subject to a public interest test.

The move comes after the government seized control of the site from its Chinese owners Jingye in April last year in order to halt the potential closure of its blast furnaces.

Unite convener Martin Foster described the move as "a new chapter"

A man with a bald head and grey beard stands in front of an industrial plant. He wears a mauve shirt and pale green jacket. — Unite convener Martin Foster described the move as "a new chapter"

Kane Brown, who works as a general operative at the site on Dawes Lane, said the uncertainty surrounding the future of the plant had been "unsettling".

"There's thousands of people here. Some don't even know if they'll have a job by the end of the year sometimes, especially since last year," he said.

"If we've been nationalised, that's a lot better for us."

Martin Foster, convener at the Unite union, welcomed the "brilliant" announcement and said the move offered stability to thousands of workers.

"It gives us a lot more security and a strong feeling of we can now move on and plan for the future."

Foster said he was hopeful the nationalisation would be confirmed before Parliament entered its summer recess.

"Jinghe have always been the thorn in our side, the millstone round our neck," said Foster.

"Now that millstone's been removed, there'll be a collective sigh of relief that we can forget about that now.

"A new chapter beckons."

Councillor Rob Waltham said public investment in the plant would help attract private funding

A man with a shaved head wears a blue suit with a pale blue shirt, open at the collar, in front of an industrial plant on a sunny day. — Councillor Rob Waltham said public investment in the plant would help attract private funding

Leader of North Lincolnshire Council, Rob Waltham, said the measure was "long overdue" but a "really positive step" for steelmaking in the town.

He said: "I think it's positive for this country to have a bit of steel security."

Addressing concerns about the level of taxpayer support needed to keep the plant running, Waltham said: "We've proved here British Steel-making needs significant investment to make it viable, so a period of national ownership is the only way we're going to get that.

"If we get this over the line, then you get into investment and if we get into investment, you get returns on investment."

Labour MP for Scunthorpe Nic Dakin said the announcement was a "very strong message" about the value of steelmaking to the UK.

However, there was still some uncertainty over the site's future until ownership of the plant was "resolved and the new business can set out its stall".

Scunthorpe resident Matt Prior said the move would provide reassurance for the town's plant workers

A man with a blue fleece and blue Arsenal woolly hat stands in a garden centre. He wears glasses and has a grey beard and smiles at the camera. — Scunthorpe resident Matt Prior said the move would provide reassurance for the town's plant workers

Among those living in Scunthorpe, reaction has been largely positive, with many pointing to the plant's central role in the town's identity and economy.

Matt Prior, 48, said: "It does need someone to take control and hopefully for the rest of the workers gives reassurance that their jobs are going to be there for the future - start producing our own stuff."

Jeffrey Akers spent 47 years working at British Steel and said the news mattered beyond the current workforce.

"I think it's great," said the 79-year-old.

"I worked there... and my brothers have all worked there and it's good for the youth of the town too, for more apprenticeships, so it's really good news."

However, partners Lexi Sherman and Ethan Carton were divided on the issue.

Sherman, 18, described it as "ridiculous and a stupid move," but 20-year-old Carton was more positive.

He said: "I think it's good the government can save it. It was in trouble at one point - so that's good for the town."

Listen to highlights fromLincolnshire on BBC Sounds, watch thelatest episode of Look North.

Download the BBC News app from the App Storefor iPhone and iPad orGoogle Play for Android devices