UK Government Plans £2.5 Billion Support for Steel Industry

The UK government has committed up to £2.5 billion to support the steel industry, launching the Plan for Steel Consultation to address long-term challenges such as high electricity costs and unfair trading practices. This initiative is aimed at protecting jobs and ensuring the industry's sustainability, particularly in regions historically tied to steel production. Business Secretary Jonathan Reynolds emphasized the plan's role in driving economic growth, while also noting that immediate actions, including a multimillion-pound investment from Heathrow Airport, will create a strong pipeline for steel demand. The government's response comes amid looming US trade tariffs that threaten the UK steel sector, with the industry body warning of potential devastation from these measures. Although the consultation does not directly address the tariff issue, the government is engaging with U.S. policymakers to mitigate impacts. Overall, the government's strategy aims to bolster the competitive position of British steelmakers in a challenging global market.