Protecting Steel in the UK

Zarah Sultana Excerpts

Tuesday 23rd January 2024 Commons Chamber

[Jonathan Reynolds (Stalybridge and Hyde) (Lab/Co-op)]

I beg to move,

That this House recognises the need to decarbonise steel production; appreciates the pride that local communities have in their historic steelworks; regrets that the Government has pushed through plans for decarbonising steel in the UK which will result in thousands of steelworkers losing their jobs and risk leaving the UK as the first developed country in the world without the capacity to produce primary steel; further regrets that the Government has failed to produce an industrial strategy which could have included a plan for the whole steel sector; believes that primary steel is a sovereign capability and is therefore concerned about the impact that the Government’s plans could have on national security; also believes that steel production can have a bright future in the UK; therefore calls on the Government to work with industry and workers to achieve a transition that secures jobs and primary steelmaking for decades to come; and further calls on the Secretary of State for Business and Trade to report to Parliament by 27 February 2024 with an assessment of the impact on the UK of the loss of primary steel production capabilities.

Labour has secured this debate today because this is a hugely important issue. It is important not just because the future of the Port Talbot steelworks is integral to communities across south Wales—I know that many hon. Friends will be making that case passionately—but because it speaks to a much bigger challenge that we face as a country: how to decarbonise heavy industry in a way that is effective for our climate objectives and fair for our communities.

The Opposition believe that the Government’s push to decarbonise the steelworks at both Port Talbot and Scunthorpe, in a way that guarantees large job losses and has no support from the workforce or unions, risks irrevocably damaging working people’s trust in the opportunities the net zero transition could bring. We believe that it is a calamitous mistake for the UK to become, under the Conservatives, the first major economy in the world without the ability to make our own primary steel.

[Zarah Sultana (Coventry South) (Lab)]

Decades of underinvestment and managed decline have devastated our steel industry, as the news from Port Talbot painfully brings home, but as the Unite the union’s workers’ plan for steel sets out, with the right Government action this crucial industry can still be saved. Does my hon. Friend agree that the Government must invest in UK steel, transitioning Britain’s remaining blast furnaces to fully decarbonised steel production, saving thousands of skilled jobs and putting Britain at the heart of clean, green steel production?

[Jonathan Reynolds]

I intend to make the case today that the UK steel industry could have a strong future, but that requires a much better approach than the one we have seen so far.