Tata Steel signs £500 mn Grant Funding Agreement with UK Govt for Port Talbot project

finance
Created 9/11/2024
Updated 9/11/2024

India’s Tata Group is close to securing a £500mn state aid package to support greener steel production at its Port Talbot plant in Wales. The deal, which aligns with Labour’s industrial policy, would fund a £1.25bn electric arc furnace to replace existing blast furnaces, potentially cutting 2,500 jobs. Despite the painful job losses, Tata sees this as essential for sustainable steelmaking. Tata’s UK investments also include Jaguar Land Rover and hotel expansion outside of London. Meanwhile, British Steel’s future is uncertain as it seeks similar government support to transition to greener production.

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