UK Steel Strategy

Lord Harper Excerpts

Monday 23rd March 2026 Lords Chamber

[Baroness Lloyd of Effra (Lab)]

The right reverend Prelate raises some important issues. There are two elements here in respect of energy prices. The first is the immediate action we are taking, including the supercharger, to support the steel industry now. The second is the investment we are making in renewable energy, clean power and nuclear energy that will set this country on the right track to low-carbon energy that has high energy security here in the United Kingdom.

The other point, on advanced manufacturing and R&D, goes to one of the particular strengths of the United Kingdom, which is our expertise and the types of firms we have. One benefit of the industrial strategy is linking the sectors we have set out there, which of course include defence, with the importance of high-quality manufactured low-carbon steel, which is what the UK excels in.

[Lord Harper (Con)]

My Lords, the Minister knows that tariffs are a tax paid by the consumers of the steel that will be introduced. I have looked carefully in the steel strategy, and I cannot see any analysis of the impact of those increased costs on either our domestic construction sector or our domestic manufacturing sector. I ask the Minister, did the Government conduct such an analysis of the impact those tariffs are going to have? If they did not, why not? If they did, can they publish it, so that Members of your Lordships’ House can see the detail of the impact those taxes are going to have on our domestic manufacturing?

--- Later in debate ---

[Baroness Lloyd of Effra (Lab)]

The noble Baroness is right: there is a great market for green steel. Hatch estimates that over 90% of steel demand in the UK in 2050 will be steel produced with low emissions. The transition to net zero is across the entire economy, and we will take that forward across all sub-sectors.

[Lord Harper (Con)]

My Lords, since there is still time, can I just press the Minister on her attempted answer to my question? She did not confirm that there had been any kind of economic analysis. She said that there had been engagement with the sector. Can she tell us whether the customers of the steel industry—manufacturing and construction—support the introduction of 50% tariffs on their products, and that tax that they are going to have to pay?

[Baroness Lloyd of Effra (Lab)]

We are still in discussions with much of the sector, explaining what the precise tariffs mean across different sub-sectors, and we are gaining feedback following the publication. We continue to work across many sub-sectors and business areas on implementing the trade measure ahead of 1 July, and we will consider what information we further publish following those consultations.