Question to the Wales Office:

To ask the Secretary of State for Wales, what assessment he has made of the impact of potential job losses at Tata on the (a) wider supply chains and (b) economy in South Wales.

This Government is supporting Tata Steel with £500 million towards building of the electric arc furnace, securing the future of steelmaking at Port Talbot. This will protect 5,000 steel jobs and thousands more in the supply chain. The Tata Steel/Port Talbot Transition Board has been set up to support those affected by Tata Steel’s decarbonisation transition, backed by a £100 million fund. Of that funding, £80 million is provided by the UK Government and £20 million will be provided by Tata.

The Transition Board has commissioned the development of a Local Economic Action Plan to assess the economic impact in South Wales, as well as provide the Transition Board with advice on how to support and grow the local economy. The full impact of Tata Steel’s transition on the wider supply chains and the South Wales economy depends on the outcome of the formal consultation, which remains underway.

This Government acknowledges the need for immediate as well as long-term support, especially in the wake of the announcement on 18 March that Tata Steel UK will cease operation of coke ovens at their Port Talbot site. This decision, while primarily an operational matter for Tata Steel UK, shows again why the UK government is right to step in with one of the largest support packages in our history to secure the future of the Welsh steel industry.