Asked by: Harriett Baldwin (Conservative - West Worcestershire)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, what his timetable is for the (a) consultation on and (b) implementation of the compensation scheme for steel undertakings referenced in his statement of 10 December 2025.
Answered by Chris McDonald - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
The Government is engaging with Jingye, the owners of British Steel, to find a pragmatic path forward for the future of the company. The Government wishes to make further progress in those discussions before introducing such a scheme. The Government does not plan to consult on the scheme since the directions in the Act have been applied to only one company.
Asked by: Lord Sharpe of Epsom (Conservative - Life peer)
Question to the Department for Business and Trade:
To ask His Majesty's Government whether they plan to ensure parity of treatment between metal recyclers and steel producers in relation to energy pricing and the proposed carbon border adjustment mechanism.
Answered by Baroness Lloyd of Effra - Baroness in Waiting (HM Household) (Whip)
The Government has recently published a consultation on eligibility for the British Industrial Competitiveness Scheme which, from 2027, will lower electricity prices for businesses in manufacturing frontier industries and foundational industries in their supply chains. Support is also available through the British Industry Supercharger and the Energy Intensive Industries Compensation Scheme.
The Carbon Border Adjustment Mechanism (CBAM) will ensure that highly traded, carbon-intensive imported goods face a comparable carbon price to UK-produced equivalents. Imported scrap products, including those from aluminium, iron and steel, will remain outside CBAM scope due to their low carbon leakage risk.
Asked by: David Chadwick (Liberal Democrat - Brecon, Radnor and Cwm Tawe)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, how much funding was allocated to the steel innovation grant scheme.
Answered by Chris McDonald - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
We are committed to providing up to £2.5bn for the steel sector, which is being delivered in part through the National Wealth Fund. The NWF has £5.8bn to invest across clean energy and advanced manufacturing sectors, including steel, and is engaging with firms on opportunities aligned with its investment principles.
No funding has been allocated to a competitive steel grant fund.
Asked by: David Chadwick (Liberal Democrat - Brecon, Radnor and Cwm Tawe)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, if he will publish (a) internal advice and (b) correspondence relating to the decision to not proceed with proposals to give businesses a cash grant for innovative steel projects.
Answered by Chris McDonald - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
We remain committed to providing up to £2.5bn for the steel sector, which is being delivered in part through the National Wealth Fund. The NWF has £5.8bn to invest across clean energy and advanced manufacturing sectors, including steel, and is engaging with firms on opportunities aligned with its investment principles.
In February 2025, the UK government launched a "Plan for Steel" consultation to seek views on issues such as electricity costs, trade challenges, domestic demand, and funding. The forthcoming Steel Strategy will set out our response to those issues.
Asked by: David Chadwick (Liberal Democrat - Brecon, Radnor and Cwm Tawe)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, what steps his Department is taking to help support steel businesses with (a) innovative and (b) low-carbon projects.
Answered by Chris McDonald - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
This Government has committed up to £2.5bn to the UK steel industry, which is being delivered in part through the National Wealth Fund (NWF). The NWF has £5.8bn to invest across clean energy and advanced manufacturing sectors, including steel, and is engaging with firms on opportunities aligned with its investment principles. This is in addition to £500m grant funding towards Tata’s overall £1.25bn Port Talbot transformation project, which will see the Port Talbot site transition to lower carbon Electric Arc Furnace steel making.
We have also supported innovation through our £22million in funding of the Material Processing Institute’s PRISM programme since 2020, and have recently consulted on proposals to deliver a framework of voluntary policies to grow demand for low carbon industrial products, with an initial focus on the steel, cement, and concrete products used in construction.
Asked by: David Chadwick (Liberal Democrat - Brecon, Radnor and Cwm Tawe)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, whether his Department received (a) applications and (b) expressions of interest prior to the decision to not proceed with proposals to give businesses a cash grant for innovative steel projects.
Answered by Chris McDonald - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
We are committed to providing up to £2.5bn for the steel sector, which is being delivered in part through the National Wealth Fund (NWF). A consultation was launched in February 2025 regarding the upcoming steel strategy, and we sought views on further potential mechanisms to support the steel industry, including the possibility of grant funding. However, we were not seeking applications or expressions of interest at that stage.
Asked by: Nia Griffith (Labour - Llanelli)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, When he plans to publish a steel strategy.
Answered by Chris McDonald - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
I understand this is a worrying time for Tata’s staff and suppliers and I am in contact with Tata regarding their extended maintenance periods at Trostre, Port Talbot Hot Rolled Products and Llanwern Pickle-line sites. Tata staff affected will be paid at a proportional rate over this period.
The Welsh steel industry is a high priority for this government. To address global challenges, we have strengthened UK steel safeguards, reduced energy prices, improved public procurement rules, and secured preferential US market access. We are also developing our own steel trade proposals and engaging with the EU at all levels to seek to protect vital UK-EU trade flows.
Asked by: David Chadwick (Liberal Democrat - Brecon, Radnor and Cwm Tawe)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if she will make it her policy to introduce fiscal measures to support the long-term competitiveness of the UK steel industry in the Autumn Budget 2025.
Answered by James Murray - Chief Secretary to the Treasury
This Government remains committed to supporting the UK steel industry.
The Government will also set out a long-term vision for a revitalised and sustainable sector in a Steel Strategy to be published by the end of the year.
Asked by: Lord Wigley (Plaid Cymru - Life peer)
Question to the Department for Business and Trade:
To ask His Majesty's Government, following proposals by the European Commission to double the tariff on steel and to limit tariff-free import volume, what steps they intend to take to safeguard the future of the steel industry in (1) Port Talbot, and (2) Llanwern.
Answered by Baroness Lloyd of Effra - Baroness in Waiting (HM Household) (Whip)
We are engaging with the EU on how their proposed trade measure will apply to the UK, while honouring our existing agreements and minimising disruption. We reserve the right to take any action in response to changes to our trading relationships.
The government is working with UK industry, including Tata Steel, which operates the Port Talbot and Llanwern sites, to understand potential impacts and solutions. Minister McDonald held a roundtable with industry and unions on 9 October.
Our steel strategy will set a clear vision for a competitive industry and we are developing proposals for future steel trade measures.
Asked by: Harriett Baldwin (Conservative - West Worcestershire)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, when he plans to publish (a) the steel strategy and (b) the Government's response to the Plan for Steel consultation which closed on 31 March 2025.
Answered by Sarah Jones - Minister of State (Home Office)
This government is developing a Steel Strategy that will set a long-term vision for a revitalised and sustainable industry and the actions needed to get there. The strategy will articulate what is needed to create a competitive business environment in the UK with the aim of attracting new private investment to secure and expand UK steelmaking capability and capacity which is aligned with our Net Zero goals. We intend to publish the Steel Strategy later in the year and will incorporate our response to the Plan for Steel consultation.