Future of the steel industry in Wales

The Westminster Hall debate will be led by Dame Nia Griffith MP.

On 18 January 2024 Tata Steel UK announced it plans to cut 2,800 jobs across the UK as part of its transition to greener steelmaking. Most jobs will disappear in Tata’s Port Talbot plant in South Wales.

The announcement is part of Tata Steel’s four-year plan to restructure lossmaking operations and make its steel production in the UK less carbon intensive. Tata Steel plans to close its two blast furnaces at the Port Talbot plant by the end of 2024. The company will replace them with one electric arc furnace, which produces less CO2 but is less labour-intensive to operate. As part of a £1.52 billion invesment in the transition, the UK Government is offering a grant worth up to £500 million. A dedicated transition board set up by the UK and Welsh Governments and Tata Steel is working on plans to support both affected employees, contractors and the local economy.

On 2 February 2024 Tata Steel started a statutory consultation with unions on the restructuring plan and support arrangements for affected employees. Trade Unions have propesed alternative plans, which aim to protect more jobs.