Thu, 10 Apr 2025

Thu, 10 Apr 2025 British Steel talks still deadlocked, source says

A source said the issues being discussed by government officials and the firm remain unresolved.

* The government has offered to buy coking coal essential for producing virgin steel but a resolution has yet to be reached.
* Sources say the issues discussed remain unresolved, and negotiations may continue into Friday.
* Trade unions representing workers have not been updated on the negotiations.
* The Department of Business and Trade has declined to comment.
* Coking coal is used in blast furnaces that produce virgin steel, which is made from iron ore rather than recycled steel.
* Jingye claims the furnaces are no longer financially sustainable.
* The government has not ruled out nationalizing British Steel, which employs 2,700 people, and all options remain on the table.
* Prime Minister Sir Keir Starmer stated that demand for steel is likely to increase, making it crucial to keep production going.
* The GMB union believes the government's offer to pay for coking coal buys time but warns of a potential shutdown if an agreement isn't reached quickly.
* If the Scunthorpe factory shuts down, the UK would be the only major G7 economy unable to produce virgin steel.
* Industry analysts argue there may not be enough recycled steel to meet global demand.
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