Tata Steel has approached the UK and Welsh governments for a bailout after its big European customers halted production. According to reports, discussions are said to be underway with the Treasury and the Department of Business, Energy and Industrial Strategy. The company employs 8,385 people across the UK, including more than 4,000 workers at the Port Talbot steelworks in south Wales.
Aberavon MP Stephen Kinnock raised the issue, urging the government to raise the limit on its Coronavirus Large Business Interruption Loan Scheme. “The government has capped at £50m, which is only one 10th of what Tata Steel believes will be the cashflow impact on the company over a six-month period,” he said.
This weekend a Tata Steel spokesman said: “We continue to work with both the UK and Welsh governments to identify what support is available.” A UK government spokesperson said: “The government has put together a far-reaching package of support to help businesses through the coronavirus pandemic. We continue to regularly engage with businesses across all sectors, including those in the steel industry.”
