Discussions about Tata Steel’s future are ongoing – but the business secretary has declined to promise job security.
Tata Steel has put its UK business up for sale after failing to secure government support for its Port Talbot plant in south Wales.
The Indian company is reported to have set a deadline of mid-June for potential buyers to come forward.
But Business Secretary Sajid Javid told the BBC that he could not give assurances about the future of the 4,000 jobs at Port Talbot.
The discussions with Tata Steel are ongoing, so I can’t say anything about potential job losses at this stage, he said.
The main objective for me is to make sure the steel industry continues to have a future here.
‘Painful reality’
He added that the government was doing everything we can to help Tata and potential buyers.
Tata Steel, which also has sites in Scunthorpe, Rotherham and Corby, has struggled with high energy costs and a slump in demand for steel.
The company has made losses of £1bn in the past two years and said last month that it proposed to cut 1,200 jobs in the UK.
Union leaders have warned that the UK steel industry would be decimated if Tata pulled out.
Roy Rickhuss, general secretary of the Community union, said: The painful reality facing these communities is that they could be only months away from losing all their jobs.
Sajid Javid’s failure to give any assurances over job security simply adds to the anxiety and uncertainty.
Tata Steel is the UK’s largest steelmaker, producing around 10% of the country’s output.
The company has been in talks with the government for several months about a financial support package for Port Talbot.
But a deal has not been reached, and Tata has now said it is prepared to sell the plant.
Potential buyers include Liberty House, a UK-based steelmaker, and Greybull Capital, a private equity firm.
Kind regards E. Thompson.
