From today Tata Steel's Long Products Europe business, which in the UK includes the Scunthorpe steelworks, two mills in Teesside, an engineering workshop in Workington, a design consultancy in York, and associated distribution facilities, as well as a rail mill in northern France, will trade under the name of British Steel.
All together the business employs 4,800 people – 4,400 in the UK and 400 in France. The sale follows an accelerated process of negotiations between Tata Steel UK and Greybull Capital to achieve this outcome.
“As a responsible seller, Tata Steel is delighted to have secured a buyer for this business and we hope that under Greybull ownership, the business will continue the momentum of the improvement program that has been initiated in the last 12 months.
“Employees and trade unions have worked closely with the Long Products Europe management team to improve the business’s prospects, putting it in a more competitive position than it has been for many years. It is through their dedication and hard work that we are in this position today in spite of continued challenges in the market".
Unions welcome the sale of Scunthorpe steelworks to an investment firm as a 'massive vote of confidence' in the town.
There's a another possible lifeline for 2,000 South Yorkshire steel jobs with a potential Tata management buyout
The Commons debate, which is scheduled to last up to three hours, has been given an emergency slot amid growing fears for the industry.