Commons Sense

House of Commons · Ministers' Questions

Future of Steelmaking

Wednesday 8 May 2024 · 3 questions

Summarised by AI from the official record, so it can contain mistakes.

Read the full transcript on Parliament.uk

At a glance

Answered 1 Partly answered 2 Not answered 0

Key points

  • Government investing 500 million to retain steelmaking at Port Talbot and other Tata sites in Wales
  • Grid connection issue for electric arc furnace raised with National Grid by the Secretary of State
  • Discussions ongoing with automotive industry regarding the impact of losing sovereign virgin steel production

Topics (select to filter)

Questions & Answers

Q1 Rachel Hopkins Lab Luton South and South Bedfordshire
Wales Business & Trade
Context

The steelmaking industry faces significant challenges, with concerns about job losses and economic security. The government has committed £500 million to retain operations at key sites like Port Talbot.

Question

What recent discussions have you had with Cabinet colleagues on the future of the steelmaking industry in Wales?

Answer from David Davies

I have regular discussions with Cabinet colleagues on a range of subjects, including steelmaking in Wales. The Government are investing £500 million to retain steelmaking at Port Talbot and other Tata sites, protecting 5,000 jobs and thousands more in the supply chain while increasing our economic security.

Answered
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Q2 Matt Western Lab Warwick and Leamington
Scotland Wales Energy
Context

The Welsh steel industry faces challenges such as adapting to renewable energy needs. European competitors are making significant investments in green steel production.

Question

Does the Secretary of State recognise that the Government's lack of ambition for Britain has let thousands of skilled workers down, when historic investments in green steel are being made by European competitors?

Answer from David Davies

The hon. Gentleman makes a good point about the importance of making sure there is a grid connection to enable an electric arc furnace to work properly. I have raised this issue with National Grid, and it has assured me that the grid connection can be made on time.

Partly answered

Not addressed: acknowledges point but does not directly address whether government's ambition is insufficient or harming workers

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Q3 Rachel Hopkins Lab Luton South and South Bedfordshire
Business & Trade
Context

The sustainability of the local automotive industry is crucial for Luton's economy, with concerns about rising supply chain costs due to loss of sovereign virgin steel production.

Question

What discussions has the Secretary of State had with the UK's automotive industry about the effect of losing our sovereign virgin steel production on their supply chain costs?

Answer from David Davies

I have regular discussions with the automotive industry, and I have also had regular discussions with the steel industry across the United Kingdom. Some 90% of the grades that are currently produced by Port Talbot can be produced using an electric arc furnace, and there is work going on to ensure that the other 10% can be.

Partly answered

Not addressed: acknowledges discussions but does not provide specific details about impact of losing sovereign steel production on supply chains

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