Scunthorpe steelworks takeover deal complete

The sale to investment firm Greybull Capital has saved thousands of jobs.

Published 1st Jun 2016

Greybull Capital's takeover of Tata Steel in Scunthorpe is officially complete.

It means up to 4,000 jobs have now been saved at the North Lincolnshire plant.

The new company will now trade under the name British Steel - it says the business is now in a more competitive position than it has been for years.

The Community union says it's the start of a new journey for UK steel making - but there could be more challenges ahead.

Community's General Secretary, Roy Rickhuss, said:

"Community warmly welcomes the opening of this new chapter in the course of the UK steel industry. It also demonstrates that there is the chance of a brighter future for steel making in the UK, with the right vision and investment.

"British Steel is built on firm foundations with a skilled, experienced and dedicated workforce determined to make a success of the business. They have a proud track record of delivering high-quality long products to flagship construction and infrastructure products around the world. The turnaround plan agreed between management and unions is already yielding positive results.

"Today marks the start of a new journey for UK steel making and there may be more challenges ahead. That's why it's vital that the government continues to take action to deliver on the promises it's made to the industry and to develop and implement an integrated industrial strategy and a long-term vision for UK steel.

"Today also brings to an end a long period of uncertainty for steelworkers within the Long Products business. From the first moment Tata put the business up for sale, we insisted that they be a responsible seller and allow time for the right buyer to come forward and for the deal to be completed. Tata has honoured that commitment with this deal but now they must do the same for the remainder of their UK operations and work with Community through the sales process."