Government brings British Steel under public ownership

The move, confirmed by the Department for Business and Trade, aims to secure steel production at British Steel’s Scunthorpe site in Lincolnshire.

It follows the Steel Industry (Nationalisation) Act 2026 receiving royal assent and becoming law.

Government brings British Steel under public ownership

Today we are delighted to say the UK Government has brought British Steel into public ownership to protect UK steelmaking.

More: https://t.co/46QCstTP05 @biztradegovuk#BuildingStrongerFutures pic.twitter.com/tlMZIVptEM

— British Steel (@BritishSteelUK) July 16, 2026

Prime Minister Sir Keir Starmer said: "British Steel is part of the fabric of our nation and a cornerstone of Britain’s industrial strength.

"Today’s decision secures the future of steelmaking in the UK, protects skilled jobs and safeguards a vital national capability.

"This Government will always act in the national interest to support British industry, strengthen our economy and ensure the industries we rely on can thrive long into the future."

The legislation gives ministers the power to transfer steel businesses’ shares or property into public ownership.

British Steel was previously owned by Chinese firm Jingye, which had planned to close its blast furnaces in Scunthorpe.

Parliament was recalled in April last year to approve special measures legislation to keep the site open.

At that time, the Government did not take a stake in the business.

Ministers gained new powers to tell the firm how it can use and manage its assets.

A new leadership team, comprising non-executive directors, will now lead efforts to stabilise the business and develop British Steel into a "commercially sustainable, low-carbon enterprise."

The National Audit Office estimated in March that the Scunthorpe operations were costing the Government about £1.3 million per day.

The Government took control of the site in April 2025 after Jingye warned of possible closure, which would have ended the UK’s ability to produce virgin steel.

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British Steel interim chief executive Allan Bell added: “This is a momentous day for British Steel, and everyone connected with our business – our dedicated employees, our valued customers and suppliers, and the tens of thousands of people in our supply chains and local communities.

“Much more than that, it is an historic day for Britain and UK manufacturing – one which safeguards our future and strengthens national security and infrastructure.”

Virgin steel-making involves iron being extracted from its original source to be purified and treated to make all types of steel used in major construction projects, such as new buildings and railways.

What do you think about British Steel being back under public ownership? Let us know in the comments.