Emergency law passed to protect UK steelmaking
Emergency legislation to prevent blast furnaces being shut down at British Steel’s Scunthorpe site was passed over the weekend.
In a recall of parliament on April 12, 2025, the Steel Industry (Special Measures) Bill will allow the Scunthorpe site to maintain operations while government negotiations with the company continue.
The British Steel site at Scunthorpe produces virgin steel, construction steel, rail products, and special profiles but has been described by its Chinese owners Jingye as unsustainable and losing around £700,000 a day. Consequently, the company announced on March 27, 2025, that it was to consult on the proposed closure of Scunthorpe’s blast furnaces, rod mill and steelmaking operation, putting 2,700 jobs at risk.
Speaking in parliament, business secretary Jonathan Reynolds said: “Since taking office this government has been negotiating in good faith with British Steel’s owners, Jingye.
“We have worked tirelessly to find a way forward, making a generous offer of support to British Steel that included sensible, common-sense conditions to protect the workforce, to protect taxpayers’ money, and create a commercially viable company for the future.
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