Statement on ongoing developments at Speciality Steel UK

I called for Gupta to go months ago – he has finally run out of road. Whether it’s paying wages late or employees not receiving pension contributions, Liberty’s Speciality Steel UK has failed its workers.

Consequently, after months of uncertainty and continued adjournments, it’s positive that that the Government has taken control of the UK’s third-largest steelworks to try to protect our 1,450 jobs after Liberty Steel’s operations in South Yorkshire have collapsed into administration.

The court ordered for the company to go into controlled liquidation. The Government’s intervention means that the sites in Stocksbridge and Rotherham are under the control of special managers, appointed by the government’s Official Receiver.

The Official Receiver is now responsible for ensuring employees receive their salary.

I know workers were due to be paid tomorrow (22 August) - the government are working closely with the Official Receiver to ensure that employees receive their salary as soon as possible.

I will also continue to seek reassurances about what will happen with workers’ pension contributions, from the last 12 months, which have not yet been paid across to Aviva. I am aware that the Government are working closely with the Pensions Regulator to find a solution to this issue as quickly as possible.

I know that steelworkers and other employees will have a number of queries about what happens next, and I will continue to work closely with Community Union around ongoing job security.

From day one, I have advocated for the importance of the Speciality Steel UK sites as part of South Yorkshire’s Steel Corridor, and the need to secure their future.

It is reassuring to hear that the Secretary of State for Business, Jonathan Reynolds, has described our steelworks and its workers as important strategic assets for the UK, and wants them to have a strong future as part of the UK’s overall steel strategy.

It is positive to hear that that the Government has already received approaches from “independent third parties who have expressed an interest in returning some or all of the sites to steel making”, according to a letter from the Department for Business and Trade entered in court.

I want to thank all our local steelworkers and their families for all their hard work and patience throughout this difficult process. If any steelworkers would like to get in touch with me, please email me at marie.tidball.casework@parliament.uk.