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  1. ITV Report

Tata Steel's Port Talbot sale process 'discontinued'

One bidder said Tata's Steel's conduct over the sale has been 'disgraceful' Credit: PA

The planned sale of the lossmaking Port Talbot by steel magnate Tata Steel has been unexpectedly halted, ITV News has been told.

The steel giant's sale was today said to be discontinued today after talks with potential bidders.

Correspondent Rupert Evelyn said that the plant will now stay with Tata but jobs were expected to be slashed under a £100-million cost-cutting plan.

Tata Steel have released a statement saying that they will look at "alternative and more sustainable" solutions for the European part of their business, adding they are now talking to "strategic players" in the steel industry.

The bids received have been carefully considered in detail on the basis of their commercial value and prospects for the future sustainability of the UK business for a range of stakeholders.

The bids have also been reviewed in the light of the uncertainties caused by the UK referendum and the outcome of the UK Government’s consultation on the British Steel Pension Scheme.

Taking the above issues into account, the Board of Tata Steel has decided to also look at alternative and more sustainable portfolio solutions for the European business.

Consequently, Tata Steel has now entered into discussions with strategic players in the steel industry, including thyssenkrupp AG.

– Tata Steel

Business Secretary Sajid Javid has said: "Tata's news today that they intend to explore strategic alternatives including a possible joint-venture with thyssenkrupp AG is encouraging, as is the fact that they have decided to separately sell their specialty steel and pipe businesses in Rotherham, Stocksbridge and Hartlepool.

"We will continue to work closely with Tata to find a long-term solution for sustainable blast furnace steel manufacturing in Port Talbot."