The Parliamentary Under-Secretary of State for Business and Trade (Chris McDonald)
The Government committed to updating Parliament on British Steel every four sitting weeks for the duration of the period of special measures being applied under the Steel Industry (Special Measures) Act 2025.
The Government’s priority remains to maintain the safe operation of the blast furnaces at British Steel. Government officials are continuing to provide on-site support in Scunthorpe, ensuring uninterrupted domestic steel production and monitoring the use of taxpayer funds.
On funding, the position remains that all Government funding for British Steel will be drawn from existing budgets, within the spending envelope set out at spring statement 2025. To date, we have provided approximately £419 million for working capital, covering items such as raw materials and salaries. This will be reflected in the Department for Business and Trade’s accounts for 2025-26.
We continue to work with Jingye to find a pragmatic, realistic solution for the future of the site. Once a solution is found, we will terminate the directions issued to British Steel under the Act and make a statement on the need to retain, or repeal, the legislation. As we have stated previously, our long-term aspiration for the UK steel sector will require co-investment with the private sector to enable modernisation and decarbonisation and to safeguard taxpayers’ money.
Liberty Pipes Hartlepool sale
We understand that Liberty has run a sales process for their site in Hartlepool, with Corinth Pipeworks announced as the buyer. This is a commercial sale in which Government have not been involved. We welcome the new investment in this site.
[HCWS1469]