UK Steel welcomes British Steel nationalisation
UK Steel has strongly welcomed the Prime Minister’s announcement today that the Government intends to take British Steel into public ownership, as a decisive step to secure the future of a strategically vital part of the steel supply chain. The Prime Minister has announced that, as a commercial sale has not been possible at this stage, the ‘public interest’ test for nationalisation has now been met.
The decision brings much-needed certainty for its skilled workforce and customers, while safeguarding a critical foundation of the UK’s industrial base at a time of increasing global instability and competitive pressures. Steel remains essential to the UK’s national security, infrastructure delivery and economic resilience, and ensuring the continuity of domestic production is vital to supporting key sectors including construction, energy, rail and manufacturing.
Gareth Stace, Director-General of UK Steel, said:
“We strongly welcome the Prime Minister’s announcement to legislate for the nationalisation of British Steel. This provides vital certainty for the workforce, the company’s customers and the wider supply chain at a critical moment. Steel is a foundation industry and a recognised strategic national asset. Maintaining domestic production capability for British Steel’s products is essential not only for economic growth but also for our national security and resilience.
“Nationalisation is not an end goal. This must now be the beginning of a clear and credible long-term plan for British Steel. We need to see a detailed investment strategy that supports a managed transition to low-carbon steelmaking, and broader action to tackle the sky-high energy prices in the UK, which are undermining the competitiveness of the steel industry.
“With the right backing and a supportive policy environment, the UK steel sector can be competitive, support thousands of high-quality jobs, and play a central role in delivering the UK’s industrial and decarbonisation ambitions.”
UK Steel will continue to work closely with Government and industry partners to ensure that this intervention leads to a sustainable, competitive and low-carbon future for UK steelmaking.
About UK Steel: UK Steel is the trade association for the UK steel industry. It represents all the country’s steelmakers and most downstream steel processors.
The UK steel sector:
- Produced 2.5Mt of crude steel in 2025.
- Employs 36,800 people directly in the UK and supports a further 46,000 in supply chains
- The median steel sector salary is £39,245, 24% higher than the UK national median and 33% higher than the regional median in Wales, and Yorkshire & Humberside where its jobs are concentrated
- Directly contributes £1.7 billion to UK GVA and supports a further £2.2 billion
- Directly contributes £3.1 billion to the UK’s balance of trade
- 96% of steel used in construction and infrastructure in the UK is recovered and recycled to be used again and again
For further information about the steel industry, please see the 2025 press pack, Why the UK needs a strong steel sector or the 2025 UK Steel Key Statistics report.