UK Returns British Steel to State Ownership
World
The United Kingdom has nationalised British Steel, bringing one of the country's key steel producers back under state control. The government says the move is intended to preserve strategic steel production, protect thousands of jobs, and secure supplies of domestically produced steel for critical industries.
The decision was announced by the UK Department for Business and Trade after Jingye Group, the Chinese company that acquired British Steel in 2020, indicated it was considering shutting down the blast furnaces at the Scunthorpe plant. The facility is the UK's last site producing primary steel from iron ore rather than recycled scrap.
Business Secretary Peter Kyle said British Steel now belongs to the British people and that the government will focus on stabilising the business, supporting local communities, and building a competitive and low-carbon steel industry.
An independent assessment will determine whether compensation should be paid to Jingye Group. The Scunthorpe plant, which has been producing steel for more than 130 years, employs around 2,700 workers. Jingye says it invested more than £1.2 billion in maintaining and developing the business during its ownership.
The nationalisation comes amid broader tensions between London and Beijing and reflects the UK's efforts to retain control over industries considered strategically important to the economy and national security.
Business Secretary Peter Kyle said British Steel now belongs to the British people and that the government will focus on stabilising the business, supporting local communities, and building a competitive and low-carbon steel industry.
An independent assessment will determine whether compensation should be paid to Jingye Group. The Scunthorpe plant, which has been producing steel for more than 130 years, employs around 2,700 workers. Jingye says it invested more than £1.2 billion in maintaining and developing the business during its ownership.
The nationalisation comes amid broader tensions between London and Beijing and reflects the UK's efforts to retain control over industries considered strategically important to the economy and national security.
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