Sturgeon does not rule out steel plants public ownership

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Nicola SturgeonImage source, Getty Images
Image caption,

Ms Sturgeon said she firmly believed that there was future for steel manufacturing in Scotland

First Minister Nicola Sturgeon has pledged to do "everything possible" to help find a buyer and keep production going at two threatened steel plants.

Asked about a Prestwick Airport-style government rescue, she said "nothing is off the table".

Her comments came after she held talks with the workforce and management at Tata Steel's plants in Motherwell and Cambuslang.

Tata this week confirmed plans to mothball both facilities.

The move put 270 jobs at risk.

Prestwick Airport was bought by Scottish ministers for £1 in November 2013.

It has subsequently lost millions of pounds. In 2014/15, it returned a loss of £4.1m.

A steel task force, external has been set up to look at options for the sites.

Tata has blamed the planned closures on a flood of cheap imports from China, a strong pound and high electricity costs.

It said it had looked at "all other options" before taking the decision.

'Extremely distressing'

Speaking after her visit to the Dalzell plate rolling works in Motherwell and the Clydebridge plant in Cambuslang, Ms Sturgeon said Tata had agreed to support the Scottish government's efforts to try to find a buyer.

She also confirmed that modern apprentices employed on site would have their off-the-job training guaranteed, should there be a gap in their employment.

Ms Sturgeon said: "The announcement that the steel plants at Dalzell and Clydebridge are to be mothballed has been extremely distressing for the workforce and it was important for me to visit the sites today to hear first-hand their perspective on this difficult situation.

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Tata Steel employs about 400 people in Scotland, including about 350 at the Dalzell plant in Motherwell

"During my visit, I was struck by the determination of everyone on site to keep these plants open and I was able to reassure them that the Scottish government will leave no stone unturned in our efforts to help them do that.

"The task force I announced earlier this week is an important starting point in those efforts.

"It will bring together a range of people, including unions, local authorities, politicians and other agencies to focus on identifying new owners, maintaining the operation and retaining the highly skilled jobs in Dalzell and Clydebridge.

"The taskforce will also consider wider support for the workforce at this difficult time, including what can be done to ensure that the modern apprentices employed on site do not have their education affected."

She added: "I firmly believe that there is a future for steel manufacturing in Scotland and nothing I have seen today has diminished that opinion."

Parliamentary statement

Ms Sturgeon also confirmed that Scottish Business Minister Fergus Ewing, who is to chair the new steel task force, would make a statement on the steel industry to the Scottish Parliament "at the earliest opportunity following recess".

The move follows a call by Labour MSP James Kelly for Scottish ministers to set out the specific actions that will be taken to protect jobs and secure a future for the steel industry.

Mr Kelly said: "It's important that both the Scottish and UK governments act urgently to support those who are about to lose their jobs.

"The first minister has made a lot of promises to the steel workers.

"It's now time to start delivering on those promises."

The trade union Community, which represents steelworkers, called for work to start immediately on the hunt for a new operator for Dalzell and Clydebridge.

It said it believed there could be "a positive future" for the steelworks.

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