UK to provide £500 million for Tata’s Port Talbot steel plant: Report

The UK government will confirm a £500 million support package for Tata Steel’s Port Talbot plant, a key test of Labour’s industrial policy.

The UK government is set to confirm a £500 million ($654 million) support package for Tata Steel’s plant in Port Talbot, one of the first major tests of Labour’s industrial policy.

UK government plans to announce a £500 million support package for Tata Steel’s Port Talbot plant.(Bloomberg Photo)

Business Secretary Jonathan Reynolds is due to announce the details of the package in the House of Commons on Wednesday, according to a person familiar with the matter.

Though £500 million of support for the steelworks was agreed by the last Conservative government, the specific terms hadn’t been ratified and had been a point of negotiation with the new Labour administration. Reynolds has said he would want to see jobs saved at the site, as Tata Steel replaces the blast furnaces with greener but less labor-intensive electric arc furnaces.