British Steel
House of Commons · Written Statements · 16 Jul 2026 · 1 speech · Official Report
I wish to make a statement on British Steel. The public interest test The Steel Industry (Nationalisation) Act 2026 grants powers to allow the Secretary of State to bring a steel company into public ownership where it is necessary in the public interest. Ministers must carefully consider the public interest test and the likely costs prior to exercising the powers. In the case of British Steel Ltd, it has important capability in the production of several essential steel products, which are integral to the construction and maintenance of our critical national infrastructure. Given the financial challenges that the company is facing and has faced for some time, the Government’s assessment is that, without taking it into public ownership, where a plan could be developed for a sustainable future, there is a significant risk that it would fail and this capability would be lost. Such an outcome would directly disrupt the national rail network and increase supply chain risk for industry, including major infrastructure projects. It would reduce UK steelmaking capacity to around half of the requirements anticipated by 2035, leaving the UK vulnerable to volatility in international markets and international supply chains. All of these outcomes would be significant and difficult to reverse. The Government’s assessment, based on the relevant factors, including cost considerations, is that it is necessary in the public interest to nationalise British Steel Ltd. We have not taken this...