Speciality Steel UK: Insolvency

Sarah Olney Excerpts

Tuesday 2nd September 2025 Commons Chamber

[Mr Speaker]

I call the Liberal Democrat spokesperson.

[Sarah Olney (Richmond Park) (LD)]

May I start by associating the Liberal Democrats with the Minister’s remarks in support of the employees, families and communities who are affected by this latest development? We welcome the Minister’s coming to the House today to provide some clarity.

Steel is a sector of huge strategic importance for our country. It provides vital materials for our national infrastructure, from defence to renewable energy, and it creates thousands of jobs across the UK. The neglect of the steel industry in recent years is just another part of the previous Government’s disastrous legacy. With Putin’s barbaric war in Europe and Donald Trump’s damaging tariffs causing economic turmoil, securing the future of steel production in this country is more important than ever. That is why the Liberal Democrats firmly believe that nothing should be off the table in supporting this critical sector.

For too long, our steel industry has been neglected. The Conservative Government oversaw a string of near collapses and last-minute deals. They scrapped the industrial strategy, which is so vital to our manufacturers, and put in place new trade barriers, which constrained our exporters. In the light of this latest insolvency, will the Minister set out what actions the Government are taking to set our steel industry on a truly sustainable footing? What reassurance can the Government provide that job losses can be avoided in the future? What progress has been made in bringing down industrial electricity prices through the measures announced in the industrial strategy? What are the Government doing to press President Trump to finally drop his damaging 25% tariffs on our steel exports? Finally, what steps are the Government taking to treat steel as the nationally strategic asset that it is, ensuring that more British-made steel is used to power our national infrastructure and other major projects here in the UK?

[Sarah Jones]

I thank the hon. Lady for her remarks. She is right to ask about how we ensure that this nationally strategic asset is protected, and we are doing that. I have just set out the reduction in energy prices that the steel industry as a whole will benefit from—extending the super-charger from 60% to 90% to give network charge relief, which will bring significantly lower costs for energy prices for our steel industry. We are prioritising the procurement of British steel where the Government are spending money, because we believe that that is the right thing to do. We have already introduced protections for steel trading, and we are ensuring that we do everything we can, talking to our US counterparts all the time, about reaching a conclusion on the negotiations on the steel tariffs. I am optimistic about those conversations.

Of course, I speak to officials and other Ministers, and to the steel industry, about these issues all the time. We are lucky to have the Steel Council that we put together—trade unions, industry and others who are helping us to develop what we think will be an ambitious steel strategy that will ensure that the steel industry will not decline. The strategy will ensure that we will not be in the position we are currently in, where only 30% of the steel we use in this country is made in this country, and that we will be in a position where we can protect those good, experienced jobs and those good people who we want to support and make sure the industry grows.