Protecting Britain’s Steel Industry

Sarah Champion Excerpts

Monday 21st June 2021 Commons Chamber

[Sarah Champion (Rotherham) (Lab)]

The decision whether to extend safeguards in steel production is the first real test of the UK’s independent trade policy. As of today, it is a test that the Government have woefully failed. The recommendation of TRID, now confirmed by the TRA, is a crushing blow to the UK steel industry, coming at a time when it faces myriad challenges, both long and short term. The recommendation will leave almost half of all UK-produced steel production categories and a third of UK-produced steel by volume at the mercy of import surges, with devastating consequences. The interconnected nature of the industry means that those consequences will be felt across the sector.

Both the US and the EU are almost certain to extend their own safeguards. In contrast, Britain stands ready to open up our own markets, leaving import challenges inevitable; at the same time, our exports will face substantial tariff barriers, placing UK-produced steel at a huge disadvantage in the global markets. For years, the Government have blamed EU rules for their own failure to provide the UK steel industry with the backing it deserves. Now, free from those rules, rather than fighting to protect our industries, the Government are using steel as the canary in the coalmine.

This decision could not come at a worse time for the industry. In Rotherham, my constituents face profound uncertainty. The crisis that has engulfed Liberty Steel has placed steel production in the town in jeopardy. Steel is central to our local economy. With more than 900 Liberty staff based in Rotherham and many more workers in the steel supply chains, its loss would be a colossal blow, but more is at stake than the economic impact. Steel is integral to our town’s identity, its pride, its heritage. Although there has been some good news recently, with Liberty reiterating its commitment to the Aldwarke plant, the decision to seek a buyer for its specialist steels arms, which include the Brinsworth narrow strip mill, is a cause of real concern.

To date, the Government have done little more than keep a watching brief. We cannot allow this to continue. The Government must play an active role to make sure that our industry is secure.

[Madam Deputy Speaker (Dame Rosie Winterton)]

We now go via videolink to Grahame Morris. To reiterate, if he speaks for less than three minutes, we will get more people in.