BREAKING NEWS: Sky News halts for major breaking news alert โ it’s more bad news for ๐๐ฏ๐ฅ๐บ๐๐ถ๐ณ๐ฏ๐ฉ๐ข๐ฎ
The prime minister could be facing a major problem.
๐๐ฏ๐ฅ๐บ๐๐ถ๐ณ๐ฏ๐ฉ๐ข๐ฎ could be set to face a major setback (Image: Getty)
Sky News came to a halt for a major breaking news announcement that could spell trouble for ๐๐ฏ๐ฅ๐บ๐๐ถ๐ณ๐ฏ๐ฉ๐ข๐ฎ. Samantha Washington announced that Tata Steel, the UKโs biggest steelmaker, is seeking further government funding as the crisis facing the industry deepens. While the exact figure is currently unknown, the presenter said it could amount to hundreds of millions of pounds. This will be in addition to the ยฃ500m grant awarded to the company in 2023 to build an electric arc furnace (EAF) at Port Talbot.
Washington said: “A bit of breaking news to bring you from the world of business. Tata Steel, which is the UK’s biggest steel company, is seeking fresh, renewed government funding. You’ll be aware, if you know anything about this sector, that the industry has been in crisis for some years, given a glut of cheap steel on the market.
She continued: “The owner of Port Talbot in Wales has approached Whitehall for an additional sum which is thought to be hundreds of millions of pounds amid delays to its new electric arc furnace, which was part of the deal that it would be moving more to more environmentally friendly means of steel production.
“We don’t know exactly the number that it has asked for, but we understand that it could amount to hundreds of millions of pounds.”
The Sky News host added: “Meanwhile, the fate of Port Talbot and the jobs, around 5,000 jobs in the UK, still remain in a little bit of a precarious position.”
The ยฃ500 million in government funding formed part of a ยฃ1.25 billion investment in the site, with the new EAF originally expected to be operational by early 2028.
However, delays mean the new EAF will likely not be up and running until late 2028 or early 2029.
Jonathan Reynolds, the business secretary, has reportedly been briefed on the approach from Tata Steel.
The prospect of further public money being used to support Tata Steel is likely to raise questions over the industrial priorities of Burnham’s government.
One month after Burnham took office, he visited Tata steelworks in Port Talbot, marking his first official trip to Wales as prime minister.
He met workers, apprentices and senior executives and said he would bring together the leaders of Wales, Scotland and Northern Ireland this autumn for a summit aimed at boosting the UK economy.
