Opening remarks from the Business and Trade Secretary in the House of Commons.
Mr Speaker we meet under exceptional circumstances to take exceptional action in what are exceptional times.
Our request to recall Parliament was not one we have made lightly. And I am grateful, genuinely grateful, to Honourable members on all sides of this House for their cooperation and for being here today as we seek to pass emergency legislation that is unequivocally in our national interest.
I would also like to particularly thank the staff here in Parliament for facilitating today.
I would like to thank the Prime Minister, the Chancellor and the Home Secretary for their support.
Indeed, the only reason we can take this action today is because of the restoration of economic stability and the dedicated resources for steel in the last Budget.
I would like to recognise my honourable friend for Scunthorpe and the honourable member for Brigg and Immingham and for all my honourable friends from Teesside for their advocacy and engagement on behalf of their constituents throughout this matter.
As honourable members will know, since taking office this government has been negotiating in good faith with British Steel's owners, Jingye.
We have worked tirelessly to find a way forward, making a generous offer of support to British Steel that included sensible, common sense conditions to protect the workforce, to protect taxpayers' money, and create a commercially viable company for the future.
Despite our offer to Jingye being substantial, they wanted much more, frankly, an excessive amount.
We did, however, remain committed to negotiation. But over the last few days, it became clear that the intention of Jingye was to refuse to purchase sufficient raw materials to keep the blast furnaces running.
In fact, their intention was to cancel and refuse to pay for existing orders.
The company would therefore have irrevocably and unilaterally closed down primary steel making at British Steel.
Now I want to make absolutely clear that separate to any conversation about a possible deal to co-invest in new facilities, the British Government offered to purchase raw materials in a way that would have ensured no losses whatsoever for Jingye in maintaining the blast furnaces for a period of time.
A counter offer was instead made by Jingye for us to transfer hundreds of millions of pounds to them without any conditions to stop that money, and potentially other assets, being immediately transferred to China.
They also refused a condition to keep the blast furnaces maintained and in good working order.
Now even if I had agreed to these terms, I could not guarantee that further requests for money would not then be made.
In this situation, with the clock being run down, doing nothing was not an option.
We could not, will not, and never will, stand idly by while heat seeps from the UK's remaining blast furnaces without any planning, any due process, or any respect for the consequences.
And that is why I needed colleagues here today.
- Verbatim readout of opening statement delivered to the House of Commons on Saturday 12th April 2025
