Britain may fully nationalize British Steel under new plans announced on May 11 by Prime Minister Keir Starmer, Reuters reports.
He noted that it was not possible to sell the company, which is owned by Chinese investors and which the government saved from closure last year.
Starmer said his government would adopt new legislation that would allow the state to take control of the Scunthorpe steel mill in northern England so that the country would not lose its last primary steel production capacity.
Any decision will be made only after passing a public interest review that takes into account national security, the preservation of critical national infrastructure, and economic support.
The company supplies products for the railway, construction and automotive industries, but has faced difficulties in recent years due to high energy prices in the UK and an excess of steel on the global market.
In April 2025, the government took over operational control of British Steel from its Chinese owner, Jingye Group, to prevent the shutdown of blast furnaces and save 2,700 jobs at the plant, as well as thousands of related supply chain jobs.
In the months that followed, the government sought a private sector partner to secure the future of British Steel, which was privatized in 1988 under Prime Minister Margaret Thatcher.
Starmer said that negotiations with Jingye showed the impossibility of a commercial sale at this stage, as no deal would bring acceptable benefits to British taxpayers.
Business Minister Peter Kyle did not rule out private sector involvement in the future.
