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Future of the UK Steel Industry

Published Thursday, July 4, 2019

This debate pack has been prepared ahead of the debate on the Future of the UK Steel Industry, to be held in Westminster Hall on Tuesday 9 July 2019 at 4.30pm. The debate will be led by Nic Dakin MP.

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  • Since 2016, there have been various policies which support the UK steel industry. For example, the UK, Scottish, and Welsh governments have all produced procurement guidance documents to create opportunities for UK steel producers to supply construction and infrastructure projects.
  • EU general state aid rules apply to the steel sector the same as to other industries but restrictions are more rigorous. In general, EU State aid rules allow support for the benefit of the long-term competitiveness and efficiency of steel manufacturing. But direct government intervention to support manufacturers in difficulties or rescue plants and jobs is seen as particularly distortive.
  • The government has entered a commercial agreement with British Steel on 24 April, valued at £120 million, relating to the company’s obligations under the EU emissions trading system.

Commons Debate packs CDP-2019-0181

Authors: Niamh Foley; Ilze Jozepa

Topics: Business support, Industry, Manufacturing industries

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