Summary

Media caption,

Reynolds says cost of supporting British Steel will benefit country long term

  1. Steelworkers legitimately worried about sabotage, says GMB union chiefpublished at 09:09 British Summer Time 13 April

    GMB union chief Gary Smith

    We’re now hearing GMB union chief Gary Smith, who is speaking on the panel.

    When asked about reports that workers blocked officials from the steel plant's Chinese owners, Jingye, from entering the site in Scunthorpe, Smith says he’s not spoken to workers in Scunthorpe, but people on site were “legitimately” worried about sabotage.

    He says the workers are angry at management.

  2. Business secretary rules out working with Chinese firm on steelpublished at 09:04 British Summer Time 13 April

    Jack Fenwick
    Political reporter

    Ministers say that nationalisation would ideally be a temporary arrangement until they can find a new commercial partner.

    But that’s not an easy task. Last night, I spoke to a source involved in the negotiations last time the government was looking for a buyer for British Steel.

    They stressed quite how few options were on the table then – and how few are likely to be on the table now.

    I understand that when talks were happening in 2019, the UK government reached out to steelmakers in four countries.

    The US, during Trump’s first term, showed “no real appetite”. The Indian steel company Tata “weren’t interested”. They’d previously sold the Scunthorpe plant in 2016.

    Turkey showed interest and were in late-stage discussions, before they decided to pull the plug. And that left the offer from Jingye in China.

    But, this morning the business secretary has ruled out working with a Chinese firm on steel again.

    The then-Conservative government didn’t think there were any other viable options.

    My source said that the current Labour government could find it very difficult to negotiate if a private company thinks ministers are “held over a barrel”. And that will clearly come with big questions about how much taxpayer money is being used.

  3. It's showtime - watch livepublished at 09:02 British Summer Time 13 April

    The panel are seated and the first guests are in position as this morning's Sunday with Laura Kuenssberg begins.

    We'll bring you all the key lines here - and you can follow along too by clicking Watch Live at the top of the page.

  4. Who is on today's show?published at 08:51 British Summer Time 13 April

    Jonathan Reynolds standing in street wearing a dark suit and a red tie, while holding on to a dark red folderImage source, EPA

    We can expect British Steel to be a big part of today's show, which begins in under 10 minutes.

    Business Secretary Jonathan Reynolds and shadow business secretary Andrew Griffith will be questioned by Laura this morning, as well as Reform leader Nigel Farage.

    There will also be an interview with Russian Ambassador Andrei Kelin - who did not deny allegations that Russian sensors had been hidden in seas around Great Britain in an attempt to track UK nuclear submarines

    Stick with us for more.

  5. Watch: Starmer promises workers 'a future for steel'published at 08:29 British Summer Time 13 April

    Media caption,

    PM Keir Starmer meets British Steel workers

    During yesterday's emergency sitting in parliament, Prime Minister Keir Starmer travelled to North Lincolnshire to to speak to workers from the Scunthorpe steel plant about its future.

    "You are the people who have kept this going. You and your colleagues for years have been the backbone of British Steel, and it's really important that we recognise that," he said.

    The prime minister added the government's new legislation will mean "we have a future for steel" in the UK.

  6. Can the UK afford to save British Steel – and can it afford not to?published at 08:20 British Summer Time 13 April

    Laura Kuenssberg
    Presenter, Sunday with Laura Kuenssberg

    A treated image of a steel works plant and a image of Laura K edited on top.Image source, Getty Images

    Two different sources who have been part of the wider discussions tell me the prime minister has come to believe that taking British Steel back into public hands is what the government will have to do. There are practical and political reasons for why that might come to pass.

    First, for the government to have a hope of achieving its aims - building infrastructure, spending more on defence at home, growing the economy and protecting jobs - it is logical to preserve a steel industry in this country.

    That's not just because ministers are loathe to see good jobs disappear. But because in government, the capacity to make steel is an important part of what the UK needs to be able to do. If the plant closes, the UK would become the only G7 country without primary steel making capability.

    Second, that requirement to act has become politically attractive because it fits into Sir Keir Starmer's more and more familiar script, that the new world order has changed – governments need to be more active and agile in protecting their own interests.

  7. Where do the opposition parties stand on British Steel?published at 08:12 British Summer Time 13 April

    Liberal Democrat Daisy Cooper stands in House of Commons wearing a blue blazer and speaks, holding a paper.Image source, PA Media

    The government's move to take control of British Steel has had backing from opposition parties – though not everyone is happy with the details.

    • Conservative MPs said Labour should have acted sooner as shadow minister Alex Burghart accused the government of making “a total pig’s breakfast of this whole arrangement”
    • The deputy leader of the Liberal Democrats Daisy Cooper said recalling Parliament yesterday was "absolutely the right thing to do", but urged ministers to use the "unprecedented legislation judiciously"
    • Green MP Ellie Chowns said steel is vital for the "green industrial transformation", and nationalisation would give the UK the control needed to renew the industry
    • Plaid Cymru's Westminster leader Liz Saville-Roberts called it a "bitter day for the people of Port Talbot", criticising the government for not acting when the Tata Steel works there faced closure
    • The SNP's Stephen Flynn questioned why the legislation only applies to England, with Grangemouth refinery in Scotland set to close
    • Reform UK's Richard Tice urged the government to "show your cojones" and fully nationalise British Steel "this weekend" – something not yet done, but expected in future legislation
  8. Why was the Scunthorpe steel plant at risk of closure?published at 07:53 British Summer Time 13 April

    An aerial view of British Steel's Scunthorpe plant with smoke billowing.Image source, Reuters

    The government started negotiations with the Scunthorpe steel plant's Chinese owners, Jingye, to prevent the site's imminent closure.

    Jingye had said the plant was "no longer financially sustainable" and it had been suffering financial losses of around £700,000 a day.

    Jingye had also announced plans to shed jobs at the site, which employs 2,700 people, blaming "highly challenging" market conditions, tariffs and costs associated with lower-carbon production techniques.

    Supplies of raw material, which are needed to keep the blast furnaces going, are also running low at the site. This added a time pressure to the talks because, once a blast furnace shuts down, it is a costly and complex process to restart it.

    The government's emergency legislation, which passed in parliament yesterday, aims to intervene on both counts - by preventing Jingye from shutting down the blast furnaces at the site and protecting jobs.

  9. What do the papers say?published at 07:29 British Summer Time 13 April

    British Steel is making headlines on many front pages today.

    "Ring of steel" is how the Sunday Mirror describes the emergency law passed yesterday, giving the UK government control of British Steel's Scunthorpe plant. The paper calls the move "history-making".

    The Sunday Times says the Royal Navy is now "on alert" to escort a fuel shipment to the blast furnaces.

    The Sunday Telegraph features a photo of the march held in Scunthorpe on Saturday in support of saving the plant.

    The Mail on Sunday also highlights the "historic" nature of the government's intervention and describes a day of "high drama" in Parliament.

    The front page of the Sunday Telegraph
  10. Business secretary to be grilled after emergency vote in Parliamentpublished at 07:23 British Summer Time 13 April

    Neha Gohil
    Live editor

    Jonathan Reynolds speaks at the despatch box in the House of Commons with the Labour benches full of MPs behind him.Image source, PA Media
    Image caption,

    MPs, who were on their Easter break, were recalled to Parliament to debate the legislation

    Good morning and welcome to our live coverage following an emergency vote in Parliament which has seen the UK take control of Chinese-owned British Steel.

    The government's new legislation, which was rushed through in a rare Saturday sitting, gives Business Secretary Jonathan Reynolds powers to control management and workers at the Scunthorpe steel plant to ensure production continues.

    Speaking in the Commons, Reynolds said he had to call the emergency vote to prevent the plant’s owner, Jingye, from shutting down its two blast furnaces.

    The government’s next likely move would be to nationalise the Scunthorpe site, Reynolds said, although Jingye will retain ownership of it for now. The BBC understands UK officials are already at the site ready to take control of operations.

    Reynolds is set to be grilled on BBC's Sunday with Laura Kuenssberg later this morning, alongside shadow business secretary Andrew Griffith and Reform UK leader Nigel Farage.

    In the Commons, the Conservatives said the government should have acted sooner and made "a total pig's breakfast of this whole arrangement", while Reform MPs backed calls for nationalisation.

    Stay with us for the latest updates, analysis and reaction.