Britain Moves to Save British Steel in Unprecedented Nationalization Bid

The UK government is taking control of British Steel's operations in an effort to save its Scunthorpe plant from closure. Nationalization of the last virgin steel producer in the UK is likely as the company seeks to transition to greener production, amid financial losses and global market challenges.

In an extraordinary move, Britain's government has intervened to keep British Steel's Scunthorpe plant operational, averting its imminent shutdown. As the country's last producer of virgin steel, the company faces challenges from rising energy costs and stiff competition.

Prime Minister Keir Starmer convened an emergency parliamentary session Saturday, rallying support for a bill to assume control over the plant. The move could lead to the nationalization of the company, drawing comparisons to the financial rescues of 2008.

Business minister Jonathan Reynolds highlighted the urgency of the action, noting the potential strategic loss to the UK. Efforts to transition to greener steel production are underway, but tariffs and import competition remain significant hurdles.

(With inputs from agencies.)