JOIN USThe UK government and Tata Steel have announced an initial support package of up to £9 million to support the local economy and employees affected by the proposed restructuring and job losses at the Scunthorpe plant.
Tata Steel’s regeneration arm UK Steel Enterprise has pledged £3 million to support job creation in Scunthorpe, on top of £10 million it has already earmarked to help regenerate UK steel communities over the next five years, the UK government said.
The new £3 million funding is being matched by the UK government. It will provide support for more start-up businesses and companies that are looking to expand and create jobs. In addition, the government is separately providing up to £3 million specifically for training of affected employees through local further education (FE) colleges. The government has asked Baroness Liz Redfern, leader of North Lincolnshire Council, to lead a taskforce which will identify local needs, coordinate with UK Steel Enterprise and consider whether additional support may be necessary, UK government added.
Tata Steel had on October 20 announced a restructuring plan for its long products business in Europe under which it would stop production of steel plate leading to around 1,200 job losses which included about 900 in Scunthorpe and 270 in Scotland. Tata’s UK Steel Enterprise is also providing an additional £1.5 million to support job creation in steel communities around its Dalzell and Clydebridge sites in Scotland.