Steel Industry (Nationalisation) Bill

Debate between Lee Pitcher and Cat Eccles

Committee of the whole House
Tuesday 9th June 2026 Commons Chamber

[Cat Eccles (Stourbridge) (Lab)]

It is a huge pleasure to speak in a debate on a Bill to nationalise British Steel, reversing one of the many mistakes of the Thatcher Government in the 1980s. I will speak against new clause 9, in the name of the hon. Member for West Worcestershire (Dame Harriett Baldwin), which would seek a private buyer for the nationalised British Steel company.

It is absolutely right that the Government are taking action to nationalise British Steel and set out a clear strategy to strengthen domestic production. While the strategy will safeguard our steelmaking capability, we must recognise the realities facing the downstream steel sector, which has been impacted by having to compete with the unfair terms of international markets and by being consistently starved of investment. Many such businesses, including those in my constituency, depend on imported grades and products that the UK simply does not produce and that are regularly used in our defence force, the automotive industry and construction.

I also oppose new clause 11, which would require the Government to create a level playing field between nationally owned and private sector businesses. While I support in principle the use of quotas and tariffs to back British Steel, we must avoid unintended consequences for the downstream industry. Sudden or poorly calibrated changes risk undermining downstream firms. These businesses are vital in constituencies such as mine, and supporting domestic production must not come at the expense of the wider steel ecosystem. I have discussed these matters extensively with the Minister on several occasions, and I look forward to welcoming him to Stourbridge in the coming weeks to meet a local steel company.

Downstream companies have expressed legitimate concerns about the present proposals. I sincerely thank the Minister for engaging with me and them on these issues, but can he confirm whether, in cases where particular steel grades are not currently produced domestically, including zero-carbon grades, the Government intend to allow exemptions from the proposed tariff and quota regime? The most recent stance is that tariffs and quotas will be reviewed in 12 months’ time, but I really fear that that will be too late for some businesses. Will he consider transitional arrangements at the very least to offer some stability to the downstream industry?

I will also speak against new clause 12, which would limit the financial assistance that can be provided under the Bill. While supporting British Steel, we cannot ignore the climate crisis. Our steel industry must be driven towards green, decarbonised production. On that point, the steel strategy states an ambition to transition to carbon-neutral steel production with electric arc furnaces when market conditions allow. It is worth noting that SSAB in my constituency, which is part-owned by the Swedish Government, imports zero-carbon steel from Sweden, where such steel—its only by-product is water—has been produced using electric arc furnaces since the 1980s.

Following the Government’s introduction of an investment debt rule in 2024, I encourage the Minister to consider what further flexibility there could be to use a similar investment method to enable the transition away from coal-based steel production. I hope that he will reflect on those points and continue to engage well with the industry. With the right decisions, I believe that we can secure a competitive, resilient and low-carbon steel sector for the future.

[Lee Pitcher (Doncaster East and the Isle of Axholme) (Lab)]

There is those three lions on my shirt, our NHS, the joy of holding a brolly over a barbie on another washed-out bank holiday Monday, that sweet smell of fish and chips on a Friday, a Mr Whippy on the beach, strawberries and cream at Wimbledon, His Majesty the King, the pageantry of trooping the colour, nil points at Eurovision, Fifa Ultimate Team, “Strictly” at Christmas, a “Gavin and Stacey” special, Monty Python, that Geri Halliwell dress, Phil Mitchell, James Bond, KSI, corgis, Larry the cat, Ant and Dec, accents, having that main character energy—and steel. Steel is to the UK what Yorkshire tea and Yorkshire puds are to God’s own county, what hotpot is to Lancashire and what black cabs are to London. It is about us. It is about what makes us and drives us. It is about pride.

Before I turn to new clauses 12 and 4 and amendments 20 and 7, which I am against, I want to begin with Martin Welch. Today marks 48 years since Martin began working at Scunthorpe steelworks, and he is now its longest-serving employee. That is 48 years of skill, graft, and loyalty to an industry that has helped to build this country. Martin has also been a champion of safety for his coworkers, standing up for people who are doing difficult, skilled and sometimes dangerous work. When we debate steel, we are debating people like Martin, families like his, and communities whose working lives, pride and futures are bound up with the future of British steel.