Union unveils plan to secure future of Scunthorpe British Steel site
Community says its proposal will ensure the continued operation of two blast furnaces while two new electric furnaces are constructed.
A union has unveiled a plan it believes will secure the future of a steelworks.
Community said its proposal would ensure the continued operation of two existing blast furnaces at the British Steel site in Scunthorpe while two new electric arc furnaces (EAFs) are constructed.
The union said the plan would secure a move towards greener steelmaking, requiring an additional £200 million of Government support to mitigate carbon costs in the interim period.
Community general secretary Roy Rickhuss said: “The new plan from our experts at Syndex lays out the roadmap towards a just transition for British Steel in Scunthorpe, which is a site of huge strategic importance to the UK as our last remaining primary steelmaking site.
“Were Scunthorpe steelworks to close, the UK would become the only G7 country without domestic steelmaking capacity – that would represent a huge risk to national security and sovereignty, with the country becoming reliant on dirty imports from overseas. That is not something we should ever be willing to accept.
“The new expert-led proposal for British Steel has the support of all the steel unions and offers an achievable and potentially profitable solution for decarbonising Scunthorpe, provided that there is an injection of support on carbon costs over the transition period.
“By maintaining blast furnace production whilst new technologies are introduced on-site, the new plan for Scunthorpe would avoid the need for a destructive cliff-edge for the workforce, and it provides long-term certainty for the steelworks and the wider community it supports.”
A British Steel spokesperson said: “British Steel is in active discussions with the UK government about the future of our steelmaking operations. Our trade union partners will be an important part of that future, and we welcome their contribution to the debate in the Syndex report.”
Steel giant Tata has shut down blast furnaces at its site in Port Talbot, south Wales and is switching to producing steel with an electric arc furnace.
A Department for Business and Trade spokesperson said: “This Government will not allow the end of steelmaking in the UK.
“That’s why we’ve committed up to £2.5 billion of investment to rebuild the industry and our plan for steel consultation, launched last week, will examine the long-term issues facing the industry.
“The Business Secretary and Industry Minister met British Steel and Jingye recently, and we continue to work in partnership with trade unions and businesses to secure a green steel transition that’s right for the workforce, represents a good investment for taxpayers, and safeguards the future of the steel industry in Britain.”
