The UK government has secured raw materials to support British Steel’s operations. Business and Trade Secretary Jonathan Reynolds announced that the materials, including coke and iron ore pellets, have been paid for using existing Department for Business and Trade (DBT) budgets.
Secured Materials
– Coke and Iron Ore Pellets: Enough to keep the blast furnaces running for several weeks.
– Coking Coal: A separate shipment of coking coal is on its way from Australia, resolving a legal dispute between British Steel and Jingye.
Government Action
The government has taken decisive action to protect British Steel, including:
– New Legislation: Passed last weekend, giving the government the power to direct the company’s board and workforce, ensure they get paid, and order raw materials to keep the blast furnaces running.
– Interim Appointments: Jonathan Reynolds has appointed Allan Bell as interim CEO and Lisa Coulson as interim Chief Commercial Officer to ensure the site runs smoothly.
Impact and Future Plans
The government aims to protect 37,000 jobs in supply chains and support the UK’s growth plans, including building 1.5 million homes, railways, schools, and hospitals. Business and Trade Secretary Jonathan Reynolds emphasized the importance of UK steel for the country’s industries and growth plans.
