Government proposals to save British Steel’s Scunthorpe blast furnaces have been approved by Parliament after an extraordinary sitting on Saturday.
While MPs and Lords voted in a rare emergency debate on a bill for the government to take over British Steel, workers outside of the plant blocked Chinese executives’ access to key areas, it has been reported.
Sir Keir Starmer called the session on Saturday to debate emergency legislation aimed at blocking the firm’s Chinese owners, Jingye, from closing blast furnaces at the Lincolnshire site, after the prime minister warned the future of the company “hangs in the balance”.
After crunch talks with Jingye, officials in the Department for Business and Trade believed its intention was to stop the supply of raw materials needed to keep the blast furnaces operating. If the furnaces are stopped, it is extremely difficult and costly to them back online.
The legislation will give the government “the power to direct steel companies in England, which we will use to protect the Scunthorpe site”, Downing Street said.
Key Points
- Lords pass historic bill to take control of British Steel
- MPs back plans to take control of British Steel after historic parliamentary recall
- Chinese owner of British Steel wanted hundreds of millions, government says
- British Steel workers prevented Chinese owners from entering Scunthorpe plant
- No private companies willing to invest in British Steel
- Farage calls for nationalisation of British Steel
Pictures from historic debate in the Commons today
19:06 , Athena Stavrou
Unions call for government to go further
18:52 , Athena StavrouTrade Union Congress general secretary Paul Nowak welcomed the passage of the Steel Industry (Special Measures) Bill, but urged the Government to go further.
He said: “The Government stepping in to take control of British Steel is the right thing to do and it’s in the national interest.
“It is right that ministers do whatever it takes, including nationalisation, to secure the future of steel.
“Steel is a foundation industry. This move will help to safeguard thousands of jobs, protect our critical infrastructure and ensure we continue to produce steel here in the UK.
“Today’s announcement is the first step towards ensuring we can modernise and decarbonise steelmaking in this country – reducing our reliance on foreign imports and ensuring we stay competitive on the global stage.
“But the Government should not stop there. We need to ensure British steel is used in British infrastructure projects to boost local economies up and down the country.
“That’s how you protect steel workers’ jobs through the transition, and put UK steelmaking on a firm footing for the future.”
Royal assent granted to act
18:17 , Athena StavrouRoyal assent has been granted to the Steel Industry (Special Measures) Act, Commons Speaker Sir Lindsay Hoyle has said.
It means the legislation has cleared the Houses of Parliament and become law.
Lords Peer on Steelworks says 'take it all into public ownership'
17:30 , Rebecca ThomasGreen Party Peer Baroness Jenny Jones has urged police makers to nationalise British Steel.
Posting on the social media platform, X, she said: British Steel is vital to our future. So take it all into public ownership and keep it in public ownership. @GreenJennyJones No more throwing taxpayers money at privately”
British Steel is vital to our future. So take it all into public ownership and keep it in public ownership. @GreenJennyJones No more throwing taxpayers money at privately owned foreign businesses expecting them to work in the public's interest. pic.twitter.com/by8wMPqWrj
— GreenJJNews (@GreenJJNews) April 12, 2025
Lords pass historic bill to take control of British Steel
17:28 , Athena StavrouThe Steel Industry (Special Measures) Bill has cleared the House of Lords.
The bill was backed by MPs earlier today, and will now become law once it receives royal assent.
Buying then closing down steelmaker was in Beijing’s interest, peers told
17:15 , Rebecca ThomasUK steel production being bought up and then shut down by the Chinese served Beijing’s interest “in a competitive world”, a former defence and home secretary has suggested.
Backing the Government’s intervention to safeguard British Steel’s Scunthorpe blast furnaces, Lord Reid of Cardowan hit out at Tory critics and argued it was the previous Conservative government that had “sold this industry to the Chinese”.
The Labour peer made his comments as the administration moved to push through emergency legislation in a day aimed at blocking the company’s Chinese owners, Jingye, from closing the critical manufacturing facilities at its Lincolnshire plant.
Farage says Labour 'terrified' of Reform UK in the North
16:24 , Rebecca ThomasReform UK leader Nigel Farage said Labour had acted on BritishSteel because they were “terrified” of his party in its traditional Northern heartlands.
Speaking outside Westminster, he said his message to the Government was: “Half a thank you for doing something. I was out with those Scunthorpe steel workers on Tuesday. I bet the “Spoons” tonight in Scunthorpe will be absolutely rammed.
“I wish I could go and join them again because they were so anxious and they are proud working people. So there’s half a thank you for that but frankly you can’t work with Jingye you have got to nationalise it and try and plan a future.”
He added: “Saviours of the world! Suddenly we are now an industrial powerhouse! Well talk about leaving it a bit late. I was in Scunthorpe on Tuesday and it was pretty obvious when we came out. There were literally three working days left to save primary steel production in Britain.
“They’ve done it on a Saturday because they wanted it to be dramatic and they wanted to say ‘Look we’re the Labour Party, we’re on the same side as workers’ and they are terrified of what the Reform vote is doing to the north west, the north east, areas like that. So that’s why they’ve done it.”
The Reform UK leader added Labour should have “just done the whole hog, today nationalised it and then tried to find a way of selling it on.”
Prime Minister visits steel workers in Scunthorpe
16:21Prime Minister Sir Keir Starmer during a visit to meet British Steel workers in Appleby Village Hall near Scunthorpe, Lincolnshire.
In a post on social media platform, X, on Saturday the PM said: “I've been to Scunthorpe. I've met the steel workers. I know how important steel is to the whole country. We will act to secure Britain's future. With British steel: made in Britain, in the national interest.”
Steelworkers union back government plan after Chinese owners failed to consult 'in good faith'
15:40A union representing Steelworkers in Britain has backed the government after it won a vote to take over British Steel.
Alasdair McDiarmid Assistant General Secretary of Community Union, The Steelworkers Union, said: “Community Union welcomes and wholeheartedly backs the Labour Government’s decisive action to take control of British Steel.
“The government has sought to negotiate constructively and even offered to buy raw materials to stop the blast furnaces closing, but Jingye have shut down every avenue to keep the furnaces running and avoid imminent job losses.
“Moreover, Jingye has not consulted in good faith with the unions, and they now need to get out of the road to give space to all those who want to see British Steel succeed.
“Today’s intervention by the UK Labour government is a first step towards securing a sustainable future for British Steel and steel communities like Scunthorpe.
“We will continue to work with the government to deliver this future and build a thriving UK steel industry which supports thousands of good jobs and the economic security of our country.”
PM makes surprise visit to British Steel's Scunthorpe plant
15:25 , Rebecca ThomasThe prime minister met British Steel workers near Scunthorpe shortly after MPs backed a rescue plan for the steelworks.
Sir Keir Starmer told the steelworkers: “You are the people who have kept this going.
“You and your colleagues for years have been the backbone of British Steel, and it’s really important that we recognise that.
“And I felt it was really important today, having been in Parliament this morning, to come straight up here to see you face to face to have that discussion with you.
“Because this shouldn’t be a removed thing that’s happening down in Westminster, in Parliament, it should be something that’s living and breathing. It’s your jobs, your lives, your communities, your families.”
The steelworkers thanked the Prime Minister for the Government’s action, with one adding: “We’re not there yet, we’ve still got a lot of hard work to do.”
British Steel Bill passes second reading
15:14 , Rebecca ThomasThe Bill has received its second reading and the Lords has been adjourned for an hour to allow time for peers to put forward amendments.
Video: Moment MPs back move to take control of British Steel in emergency debate
15:09 , Casper BarnesMPs have backed the government’s plans to take control of British Steel’s Scunthorpe plant in a rare weekend emergency debate in parliament on Saturday, 12 April.
Following several hours of debate, House Speaker Sir Lindsay Hoyle put the question to a vocal vote in the Commons, declaring, “The ayes have it.”
MPs were debating blocking British Steel’s Chinese owners, Jingye, from closing blast furnaces at the Lincolnshire site after the prime minister warned the future of the company “hangs in the balance”.
If the plant was to shut down, the UK would become the only member of the G7 without the ability to make virgin steel, which would be a risk to the country's economic security, the government has said.
MPs back the government’s British Steel rescue plan – now the hard work for ministers begins
14:57 , Kate Devlin Whitehall EditorThe government has secured cross-party support for its plans for British Steel. But in a lot of ways, that was the easy part.
Now the hard work begins. Ministers are this afternoon giving themselves sweeping and wide-ranging powers to intervene in a public company.
Which will be difficult enough. But then they have also the harder job of trying to find a buyer.
Already the business secretary has conceded that nationalisation is the “likely” outcome.
One former cabinet minister told The Independent that while he thought the government was doing the right thing “it’s a risky job they have given themselves”
British Steel workers prevented Chinese owners from entering Scunthorpe plant
14:52 , Rebecca ThomasWorkers at the British Steel Scunthorpe plant prevented Chinese executives from its owner Jingye from gaining access to key areas of the steelworks, The Times reported.
The newspaper said that police were called to the scene and forced the executives to leave.
Humberside Police said: “Officers were in attendance at British Steel in Scunthorpe at 8.30am this morning following a suspected breach of the peace.
“Upon attending, conducting checks and speaking to individuals in the area, there were no concerns raised and no arrests were made.”
Nationalisation of British Steel should be long term outcome
14:34 , Rebecca ThomasA Labour peer has said nationalising British Steel should be a long term outcome after MPs voted in an emergency bill to give the government control of the steelworks plant.
Labour peer Lord Sikka said the Government was trying to avoid explicitly saying it would nationalise British Steel, but said it should be the long-term outcome.
He said: “My Lords the minister said that the Government seeks to take control of blast furnaces at Scunthorpe, without taking control of British Steel.
“It’s really trying to avoid the words nationalisation and public ownership, but that is really where we are heading. British Steel’s most recent accounts show falling turnover, increasingly losses and negative net worth. It is bankrupt and the compensation should be very little, if any.
“Steel is essential for civil and defence industries. In a world of trade wars, we need to be self sufficient. We need permanent public ownership of the steel industry.”
Lords debate bill to take over British Steel after MPs vote through the government's plan
14:28 , Rebecca ThomasThe House of Lords is debating the government’s bill to take control of British Steel, following a rare emergency debate in parliament.
Former navy chief Lord West of Spithead said the UK production of virgin steel was vital to national security, especially the military, and backed the Government’s swift action, likening it to Cold War plans to destroy Soviet submarines.
Speaking in the Lords, the Labour former security minister said: “In the Cold War when we used to work on how we were going to kill Soviet submarines, and we would have been jolly good at it I hasten to add, I am glad we didn’t have a war but we would have been good at it, the slang word for it was ‘fastest with the mostest’.
“In other words, you got a sniff of a submarine, you moved really quickly, and I think the Government here have moved really quickly when they have seen something needs to be done, and then you put every effort, everything you had into that because you needed to kill it.
“On that issue I would say there are things that need to be done and I am not sure that all of them are being done and I do have a concern about the cost of energy.”
MPs back plans to take control of British Steel
14:03 , Andy GregoryMPs have backed the government’s plans to take control of British Steel.
Following several hours of debate in an emergency session of parliament, Speaker Sir Lindsay Hoyle put the question to a vocal vote in the Commons, declaring: “The ayes have it.”
Former defence secretary criticises Tories for ‘selling UK steel industry to China’
13:59 , Andy GregoryChina buying and then closing British Steel’s Scunthorpe plant maybe in Beijing’s interest "in a competitive world", a Labour former defence secretary has suggested.
Backing the government’s intervention to safeguard UK steel production, Lord Reid of Cardowan hit out at Tory criticism and argued it was the previous Conservative government that had “sold this industry to the Chinese”, saying: “We are constantly told not least by the party opposite that there is no firewall between the Chinese government and Chinese industry.
“Did it never occur to anyone in the last government that it maybe, in a competitive world, in the interest of the Chinese government to purchase and then close down the British steel industry? And if that wasn't considered then there was a gross omission of responsibility, I am afraid, by the previous government.”
Tory frontbencher raises concerns over cost to taxpayer
13:51 , Andy GregoryEveryone should worry about the cost to the taxpayer of the emergency legislation being debated in parliament, Conservative shadow environment secretary Victoria Atkins has claimed.
Speaking outside parliament, she said legislation does not contain the detail needed to “safeguard jobs and to protect the steel industry”.
Ms Atkins said: “I think we should all worry about the cost on the taxpayer and this is why we have been asking how much is this going to cost, and at the moment we don't have an answer from the government.
“How on earth can they put a piece of legislation of this importance before parliament rushing it through in less than three hours in order to safeguard jobs and livelihood?
“How can they do that without telling us, the taxpayer, what it will cost, what our future liabilities will be, what are the prospects of the private sector becoming involved again given how badly the government has handled the economy since the disastrous budget at the end of last year.”
She added: “They have not provided us with the detail we need in order to ensure that their plans will hold water and will actually do what we all want the legislation to do, which is to safeguard jobs and to protect the steel industry.”
Eight amendments tabled to steel industry bill
13:43 , Andy GregoryOpposition parties have tabled eight amendments to the government’s Steel Industry (Special Measures) Bill.
They include three from the SNP and Plaid Cymru extending the Bill’s scope to other parts of the UK beyond England, two from the Conservatives and one from the Liberal Democrats imposing time limits for using the powers in the Bill, and one from the UK calling for the immediate nationalisation of affected steel works.
Parliament has acted in the nick of time, warns Greenpeace
13:27 , Andy GregoryDiscussing the emergency legislation being debated in parliament, Greenpeace UK’s director of policy, Doug Parr said: “Parliament has acted in the nick of time to save British Steel and the thousands of jobs it supports.
“But much depends on what the government chooses to do with these powers. Ensuring the steel industry has a future will depend on converting the Scunthorpe plant to produce virgin green steel made with hydrogen technology. This will ensure the UK remains a contender in the global race to produce clean steel.
“It is also critical that lessons are learned from Port Talbot and that workers have a voice in future decisions about their jobs.
“The clean energy transition is an opportunity to lower bills, reduce pollution and provide decent jobs long into the future. Today’s vote is an important milestone on that road.”
Tory MP accuses ministers of being slow to act to save British Steel plant in Scunthorpe
13:16 , Andy GregoryA Tory MP who has campaigned to save the British Steel plant in Scunthorpe has accused the government of being slow to act on the issue.
Martin Vickers told the Commons he had first raised the issue in September last year, with another urgent question in March: “Now thankfully we’ve had a six-month reprieve from those threats which were coming forward in October, but I have to say the government have been a little dilatory on this.
“I know that negotiations have been taking place on this, and I appreciate that ministers cannot give away their negotiating position, but having made that point as long ago as September surely the government were beginning to realise that the negotiations with Jingye were going nowhere.”
He said he supported the Bill, but also the Conservative amendment that would introduce a so-called “sunset clause” on its powers. “I can assure them that I give them my full support today and will continue to do so when they act in the best interests of my constituents,” he said.
Protesters put banners up in Scunthorpe as MPs discuss future of British Steel
12:53 , Rebecca ThomasProtesters in Scunthorpe put up banners while MPs discuss an emergency bill to save British Steel plant
British Steel bill could set 'very dangerous precedent' says Lib Dem MP
12:43 , Rebecca ThomasLiberal Democrat Treasury spokeswoman Daisy Cooper has said British Steel bills “could set a very dangerous precedent.:
Liberal Democrat Treasury spokeswoman Daisy Cooper told the Commons: “Under the terms of this Bill, the Secretary of State (Jonathan Reynolds) is giving himself huge and unconstrained powers, which could set a very dangerous precedent.
“I urge the Secretary of State in the strongest possible terms to make a simple commitment today that the powers that he is giving himself will be repealed as soon as possible, within six months at the latest, and if they are still required after that, whether he will come back to this House to ask for another vote if he wants to extend them.”
The Liberal Democrat MP said Conservative MPs’ calls for steel nationalisation “shows just how through the looking glass we really are”.
She told the Commons that recalling Parliament “is absolutely the right thing to do”, adding: “It is quite astounding that even after British Steel was sold for £1, even after British Steel entered insolvency, even after the Government’s Insolvency Service temporarily ran the firm, the Conservatives pressed ahead to erect more trade barriers through their botched Brexit deal, they scrapped the industrial strategy council, and allowed the sale of the steel plant to a Chinese firm, which now, according to ministers, is refusing to negotiate in good faith to at least keep the plant going.”
Government asking for 'blank cheque' in British Steel Bill
12:26 , Rebecca ThomasShadow business secretary Andrew Griffith said the Government was asking MPs to sign off a “blank cheque” for its British Steel intervention.
He told the Commons: “From midnight the Chancellor will be standing behind the payroll, settling every bill with every supplier even if they are in arrears. If these decisions no longer sit with the plant’s owner, where does the buck stop? The Old Admiralty Building? The Treasury? No 10?
“And how can other steel providers have any confidence in the impartiality of the Government’s steel strategy if the umpire is now on the pitch? What assessment has the Government made of the impact of this Bill on public finances? There is no impact assessment.
“The Government has been talking to British Steel for nine months, they put at least £500 million of taxpayers’ money on the table, surely by now (Jonathan Reynolds) and his officials have a comprehensive understanding of the costs of the actions he is asking us to vote on.”
“What disrespect to this House for the Government to come along today, to recall Parliament after nine months in which they failed to land a deal and ask us for a blank cheque. This is no way to run a corner shop, let alone the country.”
Ed Davey hits out at Trump supporters over US tariffs on steel industry
12:23 , Rebecca ThomasWatch Liberal Democrats leader hit out at Reform UK leader’s support of US president Donald Trump
Government accused pursuing 'botched nationalisation plan'
12:19 , Rebecca ThomasShadow business secretary Andrew Griffith accused the Government of pursuing a “botched nationalisation plan” and said the Opposition would seek to amend the Bill to put an expiry date on the powers given to ministers.
He told the Commons: “This is a failure on the Government’s watch, let’s be crystal clear what today means: we are entering a tunnel with only one exit. This is a botched nationalisation plan revealing the Government has no plan.
“In government we acted to secure Port Talbot and were negotiating a plan, including British Steel’s preferred option of an electric arc furnace in Teesside. That would have limited job losses and kept Scunthorpe running in transition.”
Mr Griffith claimed Scunthorpe is the “victim of a dishonesty that pretends it is better for the environment to ship coke halfway around the planet than from down the road”, adding: “And an energy policy that has driven costs higher than any competing nation.
“No-one is more responsible for this than the Energy Secretary (Ed Miliband) and the Prime Minister who appointed him.”
Pressed by Liberal Democrat MP Wera Hobhouse (Bath) for details of the deal negotiated by the Tories, Mr Griffith replied: “I think (Conservative Party leader Kemi Badenoch) has been extremely clear that the deal was being negotiated and the point about a deal being negotiated is that deal would be concluded after the election.”
Government criticised for not intervening in Port Talbot steel crisis
12:12 , Rebecca ThomasThe Liberal Democrats have criticised the UK Government for not intervening to protect the Port Talbot steelworks.
David Chadwick, the Welsh Liberal Democrat Westminster spokesman, said: “Where was this scale of action when thousands of job losses were announced at Port Talbot just a few months ago?
“While action to save jobs in Scunthorpe is welcome, why has this Labour Government decided communities in England are worth fighting for and those in Wales are not?
“Workers right across South Wales will be asking themselves how this unjust situation was ever allowed to occur.”
Welsh Lib Dem leader Jane Dodds MS added: “It is outrageous that Labour was willing to see over 2,000 jobs in Port Talbot and the wider supply chain go forever, but the UK Government acted to save them elsewhere in the country.
“The Welsh Liberal Democrats constantly called for action to protect jobs at Port Talbot over very many years.
“While it was the Conservatives that plunged the South Wales proud steel industry into crisis through years of neglect, it will be Labour’s decision to act to protect English steel but not Welsh steel that will be remembered by communities for decades to come.”
UK steel industry not in decline, says business secretary
12:06 , Rebecca ThomasThe Government does not believe steel production is a declining industry in the UK, Jonathan Reynolds said.
The Business Secretary gave examples of the 400,000 tonnes of new steel needed for Heathrow Airport’s expansion, and the planned Universal Studios theme park in Bedford that will use UK-made steel where possible.
Mr Reynolds said: “When it comes to steel, we will never accept the argument that steel making is a sunset industry. Steel is vital to every bit of the modern economy, domestic demand for steel is only set to go up, not down.”
He said the Conservative Party could regret selling British Steel to Jingye.
“The legislation we’re setting out today will also help end the uncertainty that has been hanging over British Steel’s Scunthorpe site for too long,” he said.
He added: “This issue should have been resolved years ago. I also believe that they now view it as a mistake to have given this essential national asset to this company.”
Welsh officials seek to extend emergency powers in British Steel Bill to Wales
12:03 , Rebecca ThomasPlaid Cymru will seek to amend the Steel Industry (Special Measures) Bill to extend the Business Secretary’s powers into Wales, where blast furnaces have closed down in Port Talbot.
Plaid’s Westminster leader Liz Saville Roberts told the Commons: “When the blast furnaces in Port Talbot closed down in September last year, his Government could have taken exactly the same legislative action as they are choosing to do today.
“We will be endeavouring to amend this Bill to include England and Wales, because there is still the opportunity for his Government to make a real difference to the community of Port Talbot and the 2,800 jobs they lost there.”
Business Secretary Jonathan Reynolds replied: “The blast furnaces have already closed at Port Talbot.
“They are not available to be saved. That situation has moved on.”
Labour questioned over Scottish Oil refinery during emergency debate
12:01 , Rebecca ThomasThe situation at Scottish oil refinery in Scotland “is not a comparable situation” to the one at British Steel in Scunthorpe, Business Secretary Jonathan Reynolds has told MPs.
Mr Reynolds told the Commons: “I understand that some have asked about precedent or referenced other troubled industrial situations.
“And to be clear again, this is an exceptional situation, a unique situation, and the question for all members is whether we as a country want to continue to possess a steel industry, do we want to make the construction steel and rail we need here in the UK, or do we want to be dependent on overseas imports?”
SNP Westminster leader Stephen Flynn told MPs: “Many minds right now will be very much focused on the situation in Grangemouth, where we know that hundreds of jobs are going to be lost directly, 1,000s of jobs in the supply chain.
“Now, were I, or perhaps even the local member for Alloa and Grangemouth (Labour MP Brian Leishman), to bring forward a similar bill in respect of Scotland’s only oil refinery, to save it, to give him (Mr Reynolds) the executive power to do as he pleases, as he is doing with British Steel, would the Labour Party back it in the same way as it is backing this Bill today?”
Mr Reynolds replied that “this Labour Government has pledged £200 million to secure its long-term future”.
He added that “it is not a comparable situation and the behaviour of the company is not comparable to the situation in this case”.
Nationalising British Steel is 'likely' says business secretary
11:51 , Rebecca ThomasBusiness secretary Johnathan Reynolds has said nationalising British Steel is 'likely'
US tariffs are not welcome but not the only driver of British Steel crisis, says minister
11:50 , Rebecca ThomasIssues at British Steel “are more than the imposition” of US tariffs, Business Secretary Jonathan Reynolds has said, after Sir Ed Davey said any MP who campaigned for Donald Trump’s victory “should apologise” to steelworkers.
Liberal Democrat leader Sir Ed intervened in Mr Reynolds’s speech and asked: “Does he agree with me, given the huge damage that president (Donald) Trump’s tariffs have done to the British Steel industry, accelerating this crisis, that any member of this House who actually campaigned for president Trump’s election and cheered him on has behaved shamefully unpatriotically and should apologise to British Steel workers?”
Mr Reynolds replied: “I’m extremely grateful to (Sir Ed) and the presence of his party here today.
“He will not draw me on the other principal issue we’ve been dealing with at the Department for Business and Trade over the last few days.
“But to be clear, the issues around British Steel are more than the imposition of tariffs.
“Tariffs are not welcome. I don’t think there’s a justification for those tariffs to be in place, and I do believe it is in our interests, of course, but also the US’s interests to agree a position with us that removes those tariffs.”
Even with deal British Steel owner could make further demands for money
11:43Jonathan Reynolds said even if he agreed to Jingye’s terms and conditions for an agreement on support for the Scunthorpe site he “could not guarantee that further requests for money would not then be made”.
The Business Secretary told the Commons: “In this situation, with the clock being run down, doing nothing was not an option. We could not, will not and never will stand idly by while heat seeps from the UK’s remaining blast furnaces without any planning, any due process or any respect for the consequences and that is why I needed colleagues here today.”
Responding to the minister Conservative former minister Sir David Davis, said: “It’s beginning to sound from what he has described that Jingye is trying to manoeuvre the Government actually into a recompensed nationalisation.
“Will he make plain that in the event they try and manoeuvre us into a nationalisation we’ll pay not more than a penny for it?”
The business secretary replied: “To be clear, we would always in a situation where the state transfers a change of ownership to pay the fair market value for those assets. In this cas,e the market value is effectively zero so I take his point entirely.”
Ed Davey hits out at Farage as he says Reform leader’s ally Donald Trump accelerated crisis
11:34 , Kate Devlin Whitehall EditorThe Lib Dem leader hit out at Nigel Farage’s party, effectively accusing it of behaving “shamefully unpatriotically” and demanding an apology for British steel workers.
This week’s market turmoil in the wake of the US President’s tariff-triggered trade war had hastened the crisis, Sir Ed said.
He told MPs that “given the huge damage that President Trump's tariffs have done to British Steel, accelerating this crisis, any member of this house who actually campaigned for President Trump's election and cheered him has behaved shamefully unpatriotically and should apologise to British steel workers”.
Chinese owner of British Steel wanted 'excessive amount' government says
11:33 , Rebecca ThomasJonathan Reynolds said the Government had been negotiating with Jingye in good faith, but said the Chinese company wanted an “excessive amount” from the British Government.
Speaking in the Commons Mr Reynolds, business secretary claimed Jingye wanted the Government to give them “hundreds of millions of pounds” which could have been transferred to China along with British Steel assets.
The MP said: “As honourable members will know, since taking office this Government has been negotiating in good faith with British Steel’s owners Jingye.“
“We have worked tirelessly to find a way forward, making a generous offer of support to British Steel that included sensible, common sense conditions to protect the workforce, to protect taxpayers’ money and create a commercially viable company for the future.“
He said: “Despite our offer to Jingye being substantial, they wanted much more. Frankly, an excessive amount. We did however remain committed to negotiation.“
“But over the last few days it became clear that the intention of Jingye was to refuse to purchase sufficient raw material to keep the blast furnaces running, in fact, their intention was to cancel and refuse to pay for existing orders.“
“The company would therefore have irrevocably and unilaterally closed down primary steel making at British Steel.”
Mr Reynolds said the company wanted the Government to give them “hundreds of millions of pounds” which could have been transferred to China along with British Steel assets.
He explained the government offered to purchase raw materials in a way that would ensure no losses for the steelworks owner.
“A counter offer was instead made by Jingye to transfer hundreds of millions of pounds to them, without any conditions to stop that money and potentially other assets being immediately transferred to China,” he said.
Mps begin 'exceptional meeting, in exceptional times'
11:22 , Rebecca ThomasBusiness and Trade Secretary Jonathan Reynolds starts by saying MPs are meeting under "exceptional circumstances, to take exceptional action, in what are exceptional times".
The decision to recall parliament "wasn't taken lightly", he says as he thanks his colleagues for coming back on a Saturday.
MPs meet to debate emergency laws - but many are missing
11:20 , Kate Devlin Whitehall EditorCall it the benefit of a massive majority. But it's also a sign of (almost) cross-party consensus.
As MPs meet on a rare Saturday to pass emergency legislation on British steel there are many spaces on the famous Commons green benches.
Why? Labour's huge majority almost guarantees the legislation will pass.
At the same time, it shows that most parties support what the government is trying to do.
Good news for MPs who had started Easter holidays this weekend.
British Steel bill will 'save thousands of jobs' says Commons leader
11:18 , Rebecca ThomasCommons Leader Lucy Powell has said Saturday’s recall of Parliament is aimed at “saving thousands of jobs and securing our domestic production of virgin steel”.
She thanked Speaker Sir Lindsay Hoyle for allowing the recall and added: “We meet in these special circumstances because the Government needs to act decisively, at pace and with urgency to ensure that the steelworks, blast furnaces of British Steel are maintained and kept going, saving thousands of jobs and securing our domestic production of virgin steel.”
Government accused of making a total 'pig's breakfast' of British Steel negotiations
11:13 , Rebecca ThomasConservative shadow Cabinet Office minister Alex Burghart has said the Government could receive “far-reaching powers not seen in legislation really in the past 40 years”.
Speaking as acting shadow Commons leader, Mr Burghart told MPs: “I’m sure we’re going to hear a lot about urgency today, moving at pace and the rest of it.
“But the truth is that the Government has made a total pig’s breakfast, has made a total pig’s breakfast of this whole arrangement.
“The fact of the matter is anyone who has been paying any attention to this story over the past few months has known this was coming down the track.”
After noise from Labour benches, Speaker Sir Lindsay Hoyle said: “We’ve come back, it’s Saturday. It doesn’t mean it’s crackerjack day. We’re going to listen.”
Mr Burghart later continued: “The fact of the matter the Government as ever when negotiating makes bad deals for Britain, and it is making a bad deal.”
He added that “far reaching powers are being given to the Government, far reaching powers not seen in legislation really in the past 40 years”.
MPs begin debate on British Steel
11:07 , Rebecca ThomasMPs have begun debating the Government’s Steel Industry (Special Measures) Bill, kicking off the first recalled session of Parliament on a Saturday since 1982.
The last time the Commons was recalled on a Saturday during a parliamentary recess was after the invasion of the Falklands.
Live: MPs debate emergency law to save British Steel
10:57 , Rebecca ThomasWatch live as MPs debate emergency law to save British Steel.
Further calls from Reform for government to nationalise British Steel
10:56 , Rebecca ThomasRichard Tice MP, deputy leader of the Reform party said he will be joining the Government debate over British Steel.
In a post on X, the Boston & Skegness MP wrote: "We urge the Government to do the job properly and fully nationalise British Steel this weekend. Don't do half a job.
"This can be a great opportunity done well. Let's go for it."
In a further video, he said: "We will be urging the Government to show some courage, have some mettle and do the job properly."
Nigel and I have been consistent on British Steel since 2019.
— Richard Tice MP 🇬🇧 (@TiceRichard) April 12, 2025
It can be huge opportunity if done properly.
Now, it’s time for the Government to act in the national interest. Show some courage & nationalise it fully this weekend, don’t do half a job. ⬇️ pic.twitter.com/zvSl8LeBHI
Government publishes steel industry Bill
10:49 , Rebecca ThomasThe Government has published its steel Industry (Special Measures) Bill ahead of Saturday’s sitting of Parliament.
The 10-page Bill allows the Government to instruct steel companies to keep assets running, and to take over those assets if they fail to comply with those instructions.
It also provides for a compensation scheme for costs incurred by a company following the Government’s instructions, and criminal sanctions for executives who disregard them.
Key timings ahead of emergency debate
10:44 , Rebecca ThomasOn Saturday at 10:30, Prime Minister Sir Keir Starmer was seen heading to parliament for an emergency sitting in the House of Commons.
Today at 11:00, MPs will debate an emergency law aimed at blocking British Steel owners, Jingye, from closing blast furnaces in Scunthorpe.
If passed, at 12:00, peers will then debate the bill in the House of Lords.
Meanwhile, at 14:00 a march to save British steel will take place in Scunthorpe.
After a terrible week Starmer forced to delay holiday to fight another fire
10:00 , Kate Devlin Whitehall EditorMPs are in Parliament today on a Saturday for just the sixth time since the end of the Second World War.
The last time the Commons was recalled on a Saturday during a parliamentary recess was after the invasion of the Falklands.
Today’s dramatic move shows just how important saving British steel has become to the government.
At the end of an extraordinary week, when Donald Trump’s tariffs caused turmoil in the markets, the PM is being forced to firefight on the domestic front.
In truth, this point could have come at any time. The government has been in talks with British Steel’s owners since Labour came to power last July. But coming at the end of such a tumultuous week will undoubtedly add to the PM’s headaches. So much so he has delayed going on a family holiday to deal with today’s crisis.
Labour has landed itself in a steel crisis, warns Tory leader
09:44Kemi Badenoch, leader of the Conservative Party, has accused the Labour Party of driving the steel crisis.
Posting on the social media platform, Ms Badenoch said: “Labour has landed itself in a steel crisis, entirely of their own making. They've made poor decisions and let unions dictate their actions.”
Labour has landed itself in a steel crisis, entirely of their own making. They've made poor decisions and let unions dictate their actions.
— Kemi Badenoch (@KemiBadenoch) April 11, 2025
As Business Secretary last year, I negotiated a modernisation plan with British Steel to limit job losses and keep the plant running,…
She said: “As Business Secretary last year, I negotiated a modernisation plan with British Steel to limit job losses and keep the plant running, including introducing an electric arc furnace in Teesside, similar to what I did with Port Talbot steelworks.”
“However, our union-led Labour government bungled the negotiations, insisting on a Scunthorpe-only deal that the company deemed unviable. They must have seen this coming for a while. Instead of addressing it earlier in the week when Parliament was sitting, their incompetence has led to a last-minute recall of Parliament.”
British Steel crisis in Scunthorpe differs to Port Talbort, minister says
09:30 , Rebecca ThomasThe situation in Scunthorpe is different from the steelworks in Port Talbot because there was a private company willing to invest in the latter, the industry minister has said.
As the government prepares for an emergency sitting to prevent the closure of steel plants in Scunthorpe, minister Sarah Jones has suggested the similar crisis in Wales differed as private companies were willing to invest.
Last year two blast furnaces in Port Talbot, in Wales, run by Tata Steel closed, resulting in the loss of more than 2,000 jobs.
Sarah Jones industry minister said: “When we came into government, there was a deal on the table with Tata Steel in Port Talbot.
“We negotiated in 10 weeks a much better deal, but there was a private company willing to invest, who are now investing.
“We have maintained 5,000 jobs on the site and there will be a future for that site with an electric arc furnace. There is no such deal on the table at the moment (for Scunthorpe), that’s what is different.
“The other difference is that these are the last blast furnaces making primary steel that we have in this country, and also what is different of course is that the world is changing.
“As we have seen with the Prime Minister’s support for our defence industry in recent times, we need to ensure as a country we have sovereign capability to make steel, and that is what we are securing today.”
No private companies willing to invest in British Steel
09:20 , Rebecca ThomasThere are currently no private companies willing to invest in British Steel, Sarah Jones industry minister has said.
However, the minister said there would be no additional costs for the tax payer beyond the £2.5 billion already budgeted for, should the government step in.
Asked whether the Government had received any private offers for the company’s Scunthorpe plant, Sarah Jones told BBC Breakfast: “There is not at the moment, to answer your question, a private company that is there willing to invest at this point.”
However, the industry minister said there would be “no extra costs” for the taxpayer as a result of taking control of British Steel’s Scunthorpe site, beyond the £2.5 billion already budgeted for supporting the industry.
She told Sky News if the owners of British Steel, Jingye, do not continue the government will “step in” and “seek to get that money back.”
She added: “But let me be really clear on the finances. We have a fund which we put into our manifesto because we have been committed to steel for the duration.”
She added: “We have the £2.5 billion fund for steel which we had in our manifesto, that we will use if necessary, so there will be no extra costs to the Exchequer that we don’t already have in our plans.”
Farage calls for nationalisation of British Steel
09:10 , Rebecca ThomasNigel Farage, leader of Reform UK, has said the government must nationalise British Steel.
Posting on the social media platform, X, the Reform UK leader said his party would table an amendment to “nationalise British Steel immediately.”
Starmer is recalling Parliament tomorrow for a short-term sticking plaster to counter the threat of Reform UK.
— Nigel Farage MP (@Nigel_Farage) April 11, 2025
We will table an amendment to nationalise British Steel immediately. https://t.co/eCgGsE9Btt
MPs face choice on British Steel as ministers aim to ‘take back control’
09:01 , Rebecca ThomasMPs face a choice between “taking back control” of BritishSteel or seeing the end of primary steelmaking in the UK, the industry minister said ahead of a debate on emergency legislation.
Both the Commons and the Lords will break from Easter recess for a highly unusual Saturday sitting to debate a Bill aimed at blocking the company’s Chinese owners, Jingye, from closing blast furnaces at its Scunthorpe plant.
Speaking to Sky News on Saturday morning, industry minister Sarah Jones suggested negotiations with Jingye on saving the plant had broken down, accusing the company of failing to act “in good faith”.
She said: “This problem has now become existential because the company have refused to bring in the raw materials that we need to keep the blast furnaces operating.
“If blast furnaces are closed in an unplanned way, they can never be reopened, the steel just solidifies in those furnaces and nothing can be done.
“So the choice that is facing MPs today is do we want to take back control, to give the Business Secretary the power to act as a company director and to instruct the company to ensure we get the raw materials and we keep the blast furnaces operating, or do we want to see the end of primary steel making in this country and the loss of jobs?”
Parliament sits for historic emergency session as Starmer says ‘national security’ on the line
07:08 , Athena StavrouParliament will be recalled for a rare weekend sitting on Saturday, after Sir Keir Starmer unveiled an emergency plan to take control of British Steel’s Scunthorpe plant.
MPs will vote on emergency legislation aimed at blocking the firm’s Chinese owners, Jingye, from closing blast furnaces at the Lincolnshire site after the prime minister warned the future of the company “hangs in the balance”.
After crunch talks with Jingye, officials in the Department for Business and Trade believed its intention was to stop the supply of raw materials needed to keep the blast furnaces operating.
If the furnaces are stopped, it is extremely difficult and costly to them back online.
