Questions & Answers
Q1
Direct Answer
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Context
The MP asked about recent discussions with Cabinet colleagues regarding the future of steelmaking in Wales, specifically addressing concerns over job security and community impact.
What recent discussions he has had with Cabinet colleagues on the future of the steelmaking industry in Wales. The question stems from concerns about the sustainability and job security of the steel industry in Port Talbot, a critical economic sector in Wales.
The Government are investing £500 million to secure the future of steelmaking in Port Talbot for generations to come. It is one of the largest UK Government support packages for steelmaking in history, and it will protect 5,000 jobs directly with Tata and many thousands more in the supply chain.
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Assessment & feedback
Response accuracy
Q2
Partial Answer
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Context
The MP questioned the government's lack of red line on job losses while discussing the future of steelmaking with Tata, despite previous statements about understanding community devastation.
Last week, the Secretary of State stated he understands “the devastation that people will feel in Port Talbot—the whole community, but especially those people who face the loss of their jobs”—[Official Report, 23 January 2024; Vol. 744, c. 264.] at the plant and beyond. Why is it, then, that the Secretary of State or the Business Secretary did not put in a red line on job losses while this work was being done, especially given that Tata has this morning doubled down on those losses at the Welsh Affairs Committee? It is nothing short of a disgrace.
As the hon. Gentleman knows, Tata approached the UK Government and said it was intending to pull out of the United Kingdom. If Tata had pulled out completely, that would have immediately cost 8,000 jobs and many thousands more in the supply chain. The Government therefore acted to take the only deal available, which was to build the electric arc furnace and save thousands of jobs.
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Assessment & feedback
Commitment to prevent job losses
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Q3
Partial Answer
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Context
The MP questioned the government's actions regarding job losses at Teesside due to previous decisions, and expressed concerns about similar fate for Wales. He also highlighted the importance of maintaining a domestic steel industry.
I do not think that thousands of jobs will be saved at all. The people of Teesside, who saw the Tory Government abandon them and end virgin steelmaking at Redcar, leading to the loss of 3,000 jobs, will sympathise with those in Wales. The failure of the same Government will see virgin steelmaking also ended in Wales, with the loss of another 3,000 jobs, and leave the UK even more reliant on imports, as they are surrendering the market to other countries. Why would the Government want to do that when steel is a foundation industry and, with the introduction of new technologies, could have a bright future?
I hope that the hon. Gentleman will be aware that 100% of the materials—the iron ore and coke—used to produce steel in Port Talbot are imported from abroad. At the same time, we are exporting 8 million tonnes of scrap steel, so building an arc furnace to make use of that scrap steel will make us less dependent on other countries for our steel.
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Assessment & feedback
Commitment to prevent job losses in Wales
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Q4
Partial Answer
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Context
The MP questioned the inconsistency of Welsh Labour Government's actions regarding the steel industry, particularly their approach to balancing environmental concerns with industrial needs.
Steelmaking is essential to our national security, as is reaching net zero. The problem is that the Welsh Labour Government cannot make their mind up about which is more important. After trying to kill off the steel industry with their green measures, they now complain that the UK Government are not doing enough to support that industry. Does the Secretary of State think that they do not really know their ACAS from their NALGO?
My hon. Friend makes a good point. The Government have looked carefully at this, and very little steel being produced by Port Talbot is going into the defence industry, but the defence industry is being supplied with steel from an electric arc furnace by Sheffield Forgemasters.
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Assessment & feedback
Balancing national security and environmental goals
Working With Partners
Response accuracy