Closing summary
Time for a recap
Under the plan, announced this morning, Tata Steel will inject about £750m into Port Talbot to fund a switch to greener forms of steelmaking using electricity rather than coal.
Tata called it “a defining moment for the future of the steel industry,”
Business and Trade Secretary Kemi Badenoch says it will secure a sustainable future for Welsh steel, and save thousands of jobs in the long term. She says:
This is an historic package of support from the UK Government and will not only protect skilled jobs in Wales but also grow the UK economy, boost growth and help ensure a successful UK steel industry.
But Labour were critical, saying:
“Only the Tories could spend £500m of taxpayers’ money to make thousands of British workers redundant.
Unions also battered the plan, which is expected to lead to around 3,000 job losses as the new electric arc furnace needs fewer workers.
The GMB said the deal will have devastating consequences for jobs and workers, and rip the heart out of the Port Talbot community.
The TUC criticised the strategy, saying:
An electric arc furnace-only model for Port Talbot is simply the wrong approach for making our steel greener.
We need a proper long-term plan for zero-carbon steel-making in this country – not 1980s-style deindustrialisation.
And Unite said it would fight “tooth and nail” to save jobs at Port Talbot, and to create more in steel.
In other news…
Company insolvencies in England and Wales have jumped 19% year-on-year, as firms are hit by rising costs and economic uncertainty.
Russia’s central bank has raised interest rates to 13%, up from 12%, as it tries to ease inflationary pressures and support the rouble.
Shares in Arm have risen on their second day’s trading on the Nasdaq, after a 25% jump yesterday.
European stock markets are rallying too, with the UK’s FTSE 100 up 56 points at 7729, its highest level since late May. That puts the Footsie on track for its biggest weekly gains since last autumn.
TikTok has been fined €345m (£296m) for breaking EU data law in its handling of children’s accounts, including failing to shield underage users’ content from public view.
Train drivers have announced two more days of strikes and an overtime ban across England, timed to bring services to a halt at the start and end of the Conservative party conference.
Oil companies have been granted licences by the government that it hopes will enable them to store up to 10% of the UK’s carbon emissions in old oil and gasfields beneath the seabed.
We’ll be back on Monday. GW
Here’s Tony Bosworth, climate campaigner at Friends of the Earth, on the UK-Tata Steel deal:
“Green steel is the future, but it cannot come at the expense of jobs and communities.
“This announcement exposes the flaws and confusion at the heart of the government’s policymaking. Less than a year ago, it approved a new coal mine, in part to supply companies like Tata Steel, which are already moving to decarbonise production.
“Instead of backing more fossil fuel extraction, the government should be investing in supporting workers and communities as part of a just transition to a zero-carbon economy that’s fit for the challenges of the 21st century. This should include a fair deal to secure a long-term future for Port Talbot that protects workers and creates long-term, sustainable jobs.”
