British Steel opens £10m rail hub

British Steel’s new rail storage facility is based at its headquarters in Scunthorpe

A £10m storage facility for steel rails used to make train tracks has opened in North Lincolnshire.

Eleven multi-gantry hoists to move the rails have been installed at British Steel in Scunthorpe, where the majority of the UK's rail is made.

The hub will supply track to Network Rail increasing the availability of stock.

Craig Harvey, British Steel’s commercial director, said the investment supported the government’s ambition to improve rail travel and connectivity.

Mr Harvey said the manufacturer had "an integral role to play in strengthening the UK’s infrastructure, enabling development, and supporting hundreds of businesses and thousands of jobs in the supply chain".

Julia Territt, Network Rail’s supply chain operations director, said: “Our focus remains on ensuring that we have continued delivery of rail supply, now and into the future, so that we can continue delivering reliable services for our passengers."

The facility has the capacity to hold 25,000 tonnes of rail in 354ft (108m) lengths.

In November last year, Jingye, the Chinese owner of British Steel, announced a £1.25bn decarbonisation plan, which would involve shutting Scunthorpe’s traditional blast furnaces and replacing them with a 130-tonne electric arc furnace, potentially by late 2025.

The closure could see 2,000 jobs lost at the Scunthorpe site according to unions.

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