‘Stop steel going into meltdown’

MINISTERS are under growing pressure from bosses and unions to develop a strategy for the steel industry as 1,200 workers in Scunthorpe look set to be laid off.

Their employer, Tata, did not confirm the cuts, which could also affect its Scottish plants in Motherwell and Cambuslang. But it said it faced challenges in Britain with a strong pound and a surge in cheap Chinese imports. The Indian firm has 3,000 staff in the UK.

John Cridland, head of the CBI, called on Ministers to develop a long-term strategy for the industry, echoing calls from union leaders, who have accused the Government of standing by as the industry fails under the weight of Britain’s green taxes and high business rates.

On Friday, Business Secretary Sajid Javid said at a ‘steel summit’ in Rotherham: ‘There is no magic bullet. We can’t change the price of steel. But we can work through the challenges the industry is facing.’

The steel plant in Redcar owned by Thai firm SSI closed last week, putting as many as 3,000 workers in Teesside out of a job. Its coke ovens were extinguished, making a sale virtually impossible.