Steelworkers at British Steel’s Scunthorpe plant have been given a much-needed boost as vital raw materials to sustain blast furnace operations have begun arriving, ministers have announced.
A shipment of 55,000 tonnes of blast furnace coke docked at Immingham over the weekend, set to fuel the furnaces at the North Lincolnshire plant. In addition, shipments of more than 66,000 tonnes of iron ore pellets and 27,000 tonnes of iron ore fines from Sweden are expected to arrive next week, securing the plant’s operations well into the summer months.
The move marks a significant step in safeguarding the future of primary steelmaking at Scunthorpe, following the Government’s decisive intervention to take control of British Steel from its previous Chinese owner, Jingye.
Business Secretary Jonathan Reynolds, who led the Government’s takeover, said:
“This Government is on the side of British workers and British industry. The action we’ve taken to secure primary steelmaking at Scunthorpe will not only support our national security but help our steel sector supply the construction of the homes and infrastructure of the future, as part of our Plan for Change.
By securing the raw materials we need to keep Scunthorpe going for the foreseeable future we’ve helped protect thousands of crucial steel jobs. Now, British Steel workers and their families can breathe a sigh of relief and know that we are on their side.”
The shipment of blast furnace coke, delivered by the merchant vessel Navios Alegria from Australia, is being transferred by rail to Scunthorpe. Meanwhile, preparations are under way for the incoming iron ore, ensuring continuity of production.
The Government confirmed that the procurement of these materials has been funded from the existing Department for Business and Trade budget.
British Steel has also moved swiftly to strengthen its leadership team, appointing an interim chief operating officer and a new HR director to help stabilise operations. These changes follow the emergency legislation passed by ministers to facilitate the Government’s control of the company.
Allan Bell, interim chief executive of British Steel, welcomed the arrival of the shipments, saying:
“We’ve successfully secured the raw materials we need to keep the blast furnaces running, meaning our production of steel can continue.
We would not be here today without the hard work and dedication of our specialist procurement, technical and operational teams who have worked tirelessly on short timescales to secure the required raw materials.
Over the coming months, our focus will be on stabilising our operations for the long-term, cementing British Steel as one of the world’s leading manufacturers of steel.”
The news has been warmly received by steelworkers and union representatives alike.
Alasdair McDiarmid, assistant general secretary of the Community Union, which represents British Steel’s workforce, said:
“The imminent shipments of coke and other raw materials needed to keep the blast furnaces running over the months ahead provide much-needed assurance for our members on site in Scunthorpe.
We are grateful to British Steel and the Government for the decisive work they have undertaken to secure a future for the business – we have seen their commitment and dedication first-hand.
After years of neglect, we now have a UK Government which understands the vital strategic importance of steel, and is backing this up with action.”
The positive developments follow British Steel’s decision to scrap a redundancy consultation launched earlier this year, saving thousands of jobs at the Scunthorpe site.
As the shipments are processed and production stabilises, workers at the plant and in the surrounding community are breathing a collective sigh of relief, with renewed hope for a more secure future in Britain’s steelmaking heartland.