UK Steel Industry

Debate between Marion Fellows and Tom Blenkinsop

Thursday 21st January 2016 Westminster Hall

[Marion Fellows]

No. I would like to continue at the moment.

As I was saying, we should not allow China to gain market economy status, as alluded to by the hon. Member for Aberavon. To do so would make it near-impossible for our workers to compete, pitting worker against worker in an impossible race to the bottom. Have the Government sought to address that imbalance by strangling our trade unions and attempting to repeal the Human Rights Act, all in the hope that we may finally be able to compete with the Chinese, who have an atrocious record on workers’ rights? The Tories have embarked on an ideological crusade to roll back the state and to deregulate our economy, allowing big business and executives to decide what is important to the country and what is not.

[Tom Blenkinsop]

As part of the future for Dalzell and Clydebridge, does the hon. Lady see the integrated nature of Scunthorpe, Dalzell and Clydebridge being maintained in order that we retain virgin steel creation within the United Kingdom?

[Marion Fellows]

I think there is an issue about whether Dalzell and Clydebridge will be maintained by one of the buyers as part of the deal to buy long products. That will be important, but the real issue that the plants face is rising costs, and that is what the Scottish Government have been trying hard to cover.

[Tom Blenkinsop]

I made that point because the integrated nature of long products sustains each mill. In effect, we have one site spread over a geographical distance, and in many ways that reflects the United Kingdom. That is why I am asking the hon. Lady whether she thinks it important for us to keep that blast furnace link from Scunthorpe to Dalzell and Clydebridge, through which we can help sustain virgin steelmaking in blast furnaces in the United Kingdom.

[Marion Fellows]

To answer the hon. Gentleman, I have doubts about and issues with what he says. I want production to continue, but I want Dalzell and Clydebridge to be able to continue in any case. It may be that the best route for them is another road if someone does not want to buy the whole long products division.

The laissez-faire approach is endangering our steelworks and our manufacturing base. I hope the Prime Minister, in his future negotiations on the UK’s position within the EU, seeks radical reform to state aid rules and the ability for states to favour domestic products in the tendering process. As the hon. Member for Aberavon said, the Secretary of State needs a map to find Europe while Scottish Ministers are battering on the door to represent UK fishing rights, for example, where they have real expertise and experience. I do not believe the UK Government are constrained from developing and bolstering a strong steel sector. I believe that what constrains them from saving our steel is their priorities, which are mainly raising their military profile, cutting public services and cutting tax for the richest while the poor are hammered.

The Prime Minister was willing to grant an audience with the Chinese President and Lincolnshire MPs, but when he was asked to meet Lanarkshire MPs, he gave no such courtesy. I very much enjoyed meeting the Minister in his stead, and thank her for her time. The Government show contempt for steelworkers in Scotland. In an address to the House, the Secretary of State for Business, Innovation and Skills failed even to mention the Scottish plants. More recently, the Minister referred to the UK’s steel industry as consisting basically of Scunthorpe, Port Talbot and “other bits and bobs”. Those “other bits and bobs” are a source of pride and livelihood for communities across the UK, from Motherwell to Redcar to Port Talbot.

I hope for the sake of my constituency that a new owner is found for our steelworks. The Scottish Government have gone to unprecedented lengths to secure a future for Scottish steel. I give my sympathies to people elsewhere facing a similar uncertain future. The UK Government should note that people in Scotland are watching this Parliament. The UK Government saw no issue or hindrance in bailing out bankers, but they see only roadblocks to intervening and saving our steelworks. They are allowing a core industry of my community and this country to crumble. I hold in my hand a copy of the strategic framework for supporting the steel sector in Scotland. The UK Government should have an equivalent. Do they? I don’t think so.