"There are six steel companies in the UK, four of which are currently being financially supported by the government, and ministers believe the sector is too fragmented. It's understood that the preference inside the Department for Business and Trade (DBT) is to find a joint buyer, rather than nationalise the companies."
"Ministers are already searching for buyers for two steel companies and another has been publicly owned since 2021. Ministers took control of British Steel in Scunthorpe in April after accusing the Chinese owners Jingye of trying to close down the site's blast furnaces. The search for a new buyer for British Steel has stalled in recent months after Jingye unexpectedly asked for a sum in the hundreds of millions to hand over ownership."
The government favors merging all UK steel companies into a single entity because of concerns about the sector's financial viability. Six steel companies operate in the UK; four currently receive government support and ministers consider the sector fragmented. The Department for Business and Trade prefers finding a joint buyer rather than nationalising assets. The industry has suffered from high energy prices, increased tariffs and a global steel glut. Ministers are seeking buyers for two firms and one firm has been publicly owned since 2021. Liberty Steel's UK wing entered government control after a compulsory winding-up order, and Speciality Steels UK was placed with a government-appointed liquidator while ministers cover wages and costs pending a buyer search.
Read at www.bbc.com
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