Tue, 20 May 2025

Tue, 20 May 2025 Liberty Steel plants in Rotherham and Sheffield under threat

A court will decide whether the firm should be wound up on Wednesday
Liberty Steel, which has plants near Rotherham and Sheffield, is facing a court order that could force it into liquidation due to unpaid debts. This would put 1,450 jobs at risk unless the company wins an adjournment. Liberty's owners say they are committed to saving the business but have had trouble raising money since their main lender collapsed in 2021. The government says it won't bail out Liberty Steel or its subsidiaries, but may step in if the company is forced into insolvency by the courts. Creditors, who are owed tens of thousands of pounds, say they don't know when they will be paid and that this uncertainty has put jobs at risk at their own companies. Labour MP Sarah Champion says the situation is "deeply troubling" and that the government should do more to help. The steelworkers' union says its members have been through too much uncertainty in recent years and are calling for new owners who can run the company properly. The government took control of another struggling steel plant, British Steel, last month after being given special powers by Parliament. It is now looking for a commercial partner but nationalization of the plant is considered the most likely option.
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