Lifeline for 250 British Steel coke oven workers in Scunthorpe

Some 250 staff affected by British Steel’s coke oven closure in Scunthorpe will be offered alternative roles, the firm says.

A decision was made in February 2023 to switch off the coke ovens in Scunthorpe, which produce fuel to power British Steel’s blast furnaces, despite discussions between owners and the government.

China’s Jingye Group, the company’s owner since March 2020, said rising energy costs and “global economic challenges” were to blame, after announcing its energy and carbon bills increased by £190 million last year.

Concern was raised as to what would happen to around 250 people that work there, making up around 7% of British Steel’s overall workforce, but initial plans of redundancy appear to have been altered.

British Steel has now announced that everyone affected by the coke ovens closure will be offered another role in the business, and there will be no compulsory redundancies.

Light at the end of the tunnel for British Steel’s coke oven workers

The company says that the coke ovens in Scunthorpe are approaching the end of their operational life, and there will be large environmental benefits to closing them – which would help British Steel reach its Net Zero targets.

Formal consultation has been completed on this matter, with trade unions accepting the decision and a full review of the proposal being undertaken.

A British Steel spokesperson said: “In the coming months we will press ahead with the closure of the coke ovens and we are pleased to say all employees affected by this decision will be offered alternative roles in the business.

“We appreciate this has been a difficult time for everyone involved and I’d like to thank our people and the trade unions for their professionalism throughout the consultation process.

“Jingye has invested £330 million in capital projects at British Steel during its first 3 years of ownership but we also need the support of the UK Government with whom we remain in talks.

“We are looking forward to rapidly progressing these discussions as Jingye is committed to transforming our business with planned investments providing the government can give assurances of a competitive landscape for energy and carbon.”

MP for Scunthorpe, Holly Mumby-Croft, said: “This is fantastic news for workers and their families, and will provide certainty in what I know was a very worrying time.

“I’ve made it clear at every opportunity that we need to be able to make steel here in the United Kingdom, and nowhere else can do this like Scunthorpe. Steel is a national, strategic asset that we rely upon in every aspect of our lives.

“The steelworks are facing major challenges and have been negotiating with the Government on a support package.

“Throughout these negotiations, I have been in close contact with ministers, British Steel and our community. I will, of course, continue to push for a deal that supports the long-term future of the steelworks.

“I would encourage all parties involved to work together to achieve this but today I want to congratulate and thank Jingye for making this decision.”

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