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Thu, 16 Jul 2026

Thu, 16 Jul 2026 British Steel taken into public ownership to protect 'vital' UK supply

The Scunthorpe steelworks has been officially nationalised under new government powers passed this week.
The steelworks has been struggling financially, with Jingye Group previously saying it was losing £700,000 a day. However, an independent assessor will now determine whether the company should be compensated for its loss of ownership. Nationalisation gives the government control over British Steel's operations and allows them to decide on the plant's future strategy. It is likely that the blast furnaces at Scunthorpe will remain open, as shutting them down would result in significant damage and a long, costly process to restart production. The decision has been welcomed by trade unions, including Unite general secretary Sharon Graham, who said it needed to be "the first step in a journey to transform our steel industry". However, the government is expected to cover running costs for the immediate future, which could cost over £1 million per day.