Unions propose keeping Scunthorpe blast furnaces running during the shift to electric arc furnaces, seeking governmental support on carbon costs.
The unions met with British Steel’s owners, Jingye Group. GMB, Community, and Unite were at the meeting, where they proposed keeping two blast furnaces running during the shift to electric arc furnaces.
GMB says British Steel seems open to the plan, but the government needs to act on carbon costs. British Steel acknowledged the unions’ plan as a serious and credible piece of work.
Charlotte Brumpton-Childs spoke for GMB, saying that keeping blast furnaces running is vital. It reduces transition risks and protects jobs, and Jingye saw strong arguments for the plan.
Carbon costs create a major barrier. Ministers must provide relief from these costs as other European countries have already done. Otherwise, jobs and steelmaking could be lost, and British Steel might not pursue a sensible transition.
British Steel said they’re talking with the government, covering decarbonization plans and future operations. Progress is ongoing, but no decisions have been made.
The unions’ plan emerged after media reports indicated that British Steel might not build an EAF in Teesside. Instead, they might have two in Scunthorpe. British Steel has said no final decisions have been made yet.
British Steel has permission for an EAF in Scunthorpe, approved by councillors in April 2024. This is linked to decommissioning timelines for blast furnaces.
British Steel said blast furnaces would run until the EAF was ready. Doubts arose about this plan in late summer as building the EAF should take about 22 months.
The Department for Business & Trade was contacted for comment. The government promised £2.5 billion for the steel industry and launched the Steel Council for industry advice.
