According to what News knows, following Prime Minister’s Questions on Wednesday, Business Secretary Jonathan Reynolds plans to address parliament over the Tata Steel merger.
Following Labour’s victory in the general election, Mr. Reynolds declared that “a better deal” than the one negotiated by the previous government and unveiled earlier this year was feasible.
That involves giving Indian-owned Tata Steel £500 million to help Port Talbot convert to an electric arc furnace that emits less greenhouse gas.
The corporation would invest £750 million in exchange, but around 3,000 jobs would be lost.
Retraining plans for impacted employees and terms of layoffs were reportedly among the last issues being worked out between Tata Steel and the government, according to industry insiders.
It is anticipated that the £500 million grant will not vary significantly, though, and it was not made clear what kind of job guarantees Tata Steel would offer.
Mr. Reynolds had said in July that any government would have to include these kinds of assurances.
According to one insider, Tata Steel would also pledge to up its own investment in Port Talbot, provided that there was a future commercial justification for it.
