Steel Industry — House of Commons, 2016-05-26
Topic: Mixed Topics
Sajid Javid (Conservative, Centre-right): With permission, Mr Speaker, I would like to make a statement on Britain’s steel industry Yesterday, Tata’s board met in Mumbai and reviewed progress on the sale of its UK steelmaking assets. Ahead of that meeting, I travelled to India for discussions with Tata’s leadership. I arrived back in London just a few hours ago. I use this opportunity to stress the importance of Tata continuing a responsible and effective sales process, which I commend it for doing so far. I raised various challenges and issues that had been flagged up by potential buyers, and I reiterated the Government’s willingness to support bidders who can deliver a sustainable and successful future for British steelmaking Understandably, Tata wants the sales process to be as swift and as straightforward as possible. However, it assured me that it remains absolutely committed to being a responsible seller. There are a number of credible bids on the table, all of which we discussed. Tata is now studying the proposals closely before making a decision on which to take through to the next stage of the sales process. We will be continuing our dialogue with the bidders and with Tata while that happens This remains, quite rightly, an independent commercial process. It is not the Government’s job to pick a winner or to back a specific bid. What we can do is listen to Tata, listen to the bidder and work with everyone involved to remove potential barriers to a sale. For example, we are today launching a consultation on options to deliver clarity and security for British Steel pension scheme members. This follows representations from the trustees of the scheme itself and from Tata Let me take this opportunity to thank my right hon. Friend the Secretary of State for Work and Pensions and his team for all their hard work in making this consultation happen. The House will appreciate that commercial confidentiality stops me offering a running commentary on the sales process itself. Indeed, all the bidders have signed a non-disclosure agreement. However, I will continue to update the House on progress whenever it is appropriate to do so, and to work around the clock to support British steelmaking and British steel workers That support has already seen tens of millions of pounds of compensation paid to energy-intensive industries, which will exempt them from new renewable policy costs. It has seen us become the first Government to implement new guidelines, making it easier for the public sector to buy British steel, and it has seen us consistently standing up for British steel in Europe, including calling for tariffs on a range of Chinese imports where there is evidence of unfair trade As yesterday’s demonstration by steelworkers reminded us, this is ultimately about people—about the hard-working men and women who make British steel the best in the world. We owe it to them, their families and their communities to do everything we can to secure the future of their industry. That is why my colleague, the Minister for Small Business, Industry and Enterprise, and I have been fighting for British steel since long before the current crisis hit the headlines, and it is why we will continue to fight for British steel for as long as it takes. We are very pleased to have been supported in this fight by the First Minister of Wales. We are also receiving constructive support from trade unions, particularly Community. By putting aside political point scoring and focusing on what really matters, we are together forging a secure and sustainable future for British steelmaking. I commend this statement to the House.