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Daily Mirror
Daily Mirror
Politics
Ben Glaze

Steel campaigners demand action for £2bn industry after latest government talks

Steel chiefs have piled pressure on the Tories to boost the industry by cutting sky-high electricity costs.

Sector bosses and unions held crunch talks with Business Secretary Kwasi Kwarteng aimed at bolstering the £2.1billion industry, which directly employs 33,700 workers and supports another 42,000 posts in supply chains.

Negotiations took place as the Steel Council held its first meeting for five months.

The Mirror understands steel bosses were cheered by pledges on energy costs, better liaison between the Business Department and the Treasury, and the Government’s backing for “greening” the industry.

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But they want urgent progress.

GMB national officer Ross Murdoch said: “We welcome these commitments from the Government, but actions speak louder than words.

Bosses want help in switching to more environmentally-friendly processes (Jonathan Myers)

"It's time for ministers to deliver for the steelworkers of this country.”

UK Steel director-general Gareth Stace said: “While we were encouraged to hear that the Government is working on a package of measures to bring down industrial electricity prices, the urgency of doing so cannot be overstated.

“The Business Secretary has demonstrated his desire to swing the might of government fully behind the steel sector and secure this industrial and strategic asset for decades to come.

UK Steel director-general Gareth Stace (PA)

“We look forward to working with him to implement this attitude across Government to deliver a green and bright future for UK steel production.”

Sector leaders also outlined their plans for slashing emissions - and how they want the Government to help.

Britain’s steel sector belched out about 12 million tonnes of carbon dioxide - including indirect emissions from power production - in 2019.

It accounted for 11.5% of UK industrial emissions and 2.7% of all Britain’s greenhouse gases.

Insiders recognise the need to improve processes so steel is made with less pollution, and has a sustainable future.

Community steelworkers’ union general secretary Roy Rickhuss said: “The Business Secretary’s response to the sector’s net zero proposals was encouraging, but steelworkers need words to translate into action.

Community steelworkers' union general secretary Roy Rickhuss (Daily Mirror)

“Our industry faces huge challenges, particularly due to unaffordable energy prices, and all government departments must get on board and start delivering.

“The situation is urgent because EU governments are helping their steelmakers to decarbonise, and every day we fall further behind our main competitors.”

He said workers’ leaders and company bosses were “looking to the Prime Minister and the Chancellor to back our steel industry, support British steelworkers and safeguard our steel communities”.

The industry directly employs 33,700 workers (PA)

He added: “A strong British steel industry will be vital to delivering net zero, as the foundation of the supply chain for our green industries of the future.”

Mr Kwarteng said: “Steel is a national strategic industry and we want to see the sector continue to win business both domestically and internationally over the long-term as it transitions to a low carbon future in a way that supports competitiveness, jobs and clean growth.”

The Mirror has been campaigning to Save Our Steel since the sector was hit by plant closures and thousands of job losses in 2015.

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