Steel announcement at Scunthorpe being welcomed
Heathrow airport has agreed to use UK produced steel throughout its expansion projects
Last updated 12th Feb 2025
Union Unite has welcomed movement on the Heathrow and UK steel deal but says all UK infrastructure projects must now follow.
The boss at Heathrow has officially announced a multibillion pound investment for upgrades and expansion while at British Steel in Scunthorpe.
Heathrow airport has agreed to use UK produced steel throughout its expansion projects.
As part of plans, Thomas Woldbye says he wants to boost capacity of Terminals 2 and 5. But so far detailed plans for expansion of a third runway at Heathrow are still being prepared
In a speech on Wednesday, chief executive Thomas Woldbye unveiled funding for upgrades and expansion, such as boosting the capacity of Terminals 2 and 5, reconfiguring the layout of the airfield, and boosting bus and coach connections.
It comes after Chancellor Rachel Reeves used a speech on growth last month to give her support for a third runway at Heathrow.
Speaking at the British Steel plant in Scunthorpe, Mr Woldbye said: "Just two weeks ago, the Chancellor recognised the critical role that Heathrow plays as the UK's gateway to growth.
"Her speech wasn't just a clear commitment to get Britain building, but a rallying call to industry to play its part in the growth mission, which will benefit the whole country.
"Heathrow is proud to answer that call."
He said: "Today, I can confirm that we will be launching the largest infrastructure investment programme in the history of Heathrow.
"We will be investing billions of pounds to transform Heathrow's current infrastructure, starting with projects within our existing boundary and working towards a third runway."
Mr Woldbye said: "This multibillion-pound investment, the largest private investment ever made in the UK's transport network, will provide the launch pad for a third runway.
"The Chancellor explained in her Oxford speech why the third runway is critical for our country's future economic success.
"And across the world, the UK's competitors recognise the importance of global connectivity and have ensured their aviation capacity meets the requirements of a connected, globalised world.
"Schiphol enjoys six runways, Frankfurt and Paris four each.
"Without capacity growth at Heathrow, the UK risks losing its status as a global trading hub."
The Government said the investment programme is expected to secure thousands of steel jobs across the country by driving a significant increase in demand for UK-made steel.
Unite general secretary Sharon Graham said:
“We welcome Heathrow’s commitment to UK produced steel and we look forward to further cooperation with Heathrow Airport and the government on the much needed third runway. This steel deal needs to become standard practice on all UK major infrastructure projects.
“It is madness that public money is still being used to buy foreign steel. Procurement rules must be rewritten to ensure that all publicly supported projects use our steel. Other nations have pursued these practices for decades there is no reason why the UK can’t follow suit.
“Protecting our steel industry is essential to boost our economy and in the interest of national security. With Trump introducing steel tariffs next month the government needs to act quickly.”
As part of Heathrow’s commitment to use UK steel the company is also signing the UK steel charter at an event this afternoon at the British Steel plant in Scunthorpe.
This comes as plans are still unclear over the future of the two blast furnaces at the Scunthorpe site.
Owner of British Steel, Jingye, say they want to replace them with 'greener' electric arc furnaces. Unions are concerned this could put thousands of jobs at risk.
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