Royal Navy on alert to escort essential fuel cargo to Scunthorpe after MPs vote to seize control of British Steel from Chinese owners

The Royal Navy could be deployed to deliver an essential fuel shipment to Scunthorpe’s blast furnaces after MPs voted to seize control of British Steel from Chinese owners.

The Royal Navy could be deployed to deliver an essential fuel shipment to Scunthorpe’s blast furnaces after MPs voted to seize control of British Steel from Chinese owners. 

A senior source said the government was considering the extraordinary move to ensure the cargo reached the UK without being intercepted or redirected, according to the Times

The Ministry of Defence said no decision had been taken on the navy’s involvement and it is unclear whether ministers have made a formal request.

Yesterday the day in Westminster started with MPs scrambling back from their Easter breaks into a packed Commons chamber – and ended with Government officials swooping in to take control after King Charles gave Royal Assent to the emergency law.

The extraordinary Saturday sitting to save British Steels Scunthorpe plant from closing required the new law to clear both houses unopposed and receive royal approval before nightfall, in order to empower Business Secretary Jonathan Reynolds to assume command before the furnaces were extinguished.

It was the first Saturday sitting since the Afghanistan crisis in 2021. 

It came amid dramatic scenes as, just hours before the legislation passed, executives from Chinese owners Jingye attempted to enter the plant but were blocked by British Steel workers until police arrived and forced them to leave.

While the new law stopped short of nationalisation, Mr Reynolds said full state ownership remains on the table and may be the likely option for British Steel.

The Royal Navy could be deployed to deliver an essential fuel shipment to Scunthorpe’s blast furnaces after MPs voted to seize control of British Steel from Chinese owners yesterday


The Royal Navy could be deployed to deliver an essential fuel shipment to Scunthorpe’s blast furnaces after MPs voted to seize control of British Steel from Chinese owners yesterday

Just hours before the legislation passed, executives from Chinese owners Jingye attempted to enter the plant but were blocked by British Steel workers until police arrived and forced them to leave

Just hours before the legislation passed, executives from Chinese owners Jingye attempted to enter the plant but were blocked by British Steel workers until police arrived and forced them to leave

While the new law stopped short of nationalisation, Mr Reynolds said full state ownership remains on the table and may be the likely option for British Steel


While the new law stopped short of nationalisation, Mr Reynolds said full state ownership remains on the table and may be the likely option for British Steel

He accused the company of failing to negotiate in good faith after it decided to stop buying enough raw materials to keep the blast furnaces going. 

He also accused the plants owner of trying to shut down Britains steel industry, saying Jingye, which bought British Steel in 2020, has irrevocably and unilaterally closed down primary steel making.

The intervention came amid fears that the plant could close within days, putting thousands of jobs at risk.

The Steel Industry (Special Measures) Act gives the Government the power to instruct steel companies in England to keep the plant open, with criminal penalties for executives if they fail to comply.

While being seen as a step towards nationalisation, sources said that the preference was to secure new private investment to save the plant, which Jingye says loses £700,000 a day.

A Government source said it took a big political heave to get officials to pass the legislation and change the mindset of Whitehall to pave the way for potential nationalisation. 

But opposition MPs accused ministers of a botched nationalisation, with Conservative MP Alex Burghart saying the Government had made a total pigs breakfast of saving British Steel. 

Reform UKs deputy leader Richard Tice called on Mr Reynolds to show your cojones and nationalise British Steel, claiming it could become a long-term, viable asset for taxpayers, adding: We will support this Bill today. But there is an opportunity to go further, to be bold, be courageous.

Steelworkers and members of UNITE Union march to Scunthorpe United Football ground as parliament held an emergency debate on the future of Chinese-owned British Steel yesterday

Steelworkers and members of UNITE Union march to Scunthorpe United Football ground as parliament held an emergency debate on the future of Chinese-owned British Steel yesterday

Former Labour leader Jeremy Corbyn said the whole steel industry needs to be taken into public ownership, saying it could be the bedrock of the manufacturing industry in Britain.

Scunthorpe residents welcomed seizing control and many would back nationalisation – saying taxpayers money would be a small price to pay for rescuing the future of the industry from no future at all.

Local mum Michaela Kennington, 30, said: I hope it goes through. If it stops that will be it and they wont be able to get the furnaces back on. That would be disastrous for the town.

There are many local companies that rely on them as well. If its going to be taxpayers money at least it will be going to something useful and something we want it to go to. 

A Ministry of Defence spokesperson told MailOnline: While the Royal Navy routinely monitor ships due to arrive in UK waters, we are not involved in escorting this ship.

Q&A on British Steel:

Was British Steel nationalised yesterday?

Not quite. In a dramatic intervention, MPs passed an emergency law to keep British Steels plant in Scunthorpe open.

With 2,700 workers, it is the last UK facility producing virgin steel – which is used in major construction projects such as railways.

The law does not nationalise British Steel but it hands the Business Secretary sweeping powers to direct staff at the company, order raw materials and, crucially, keep the plants two blast furnaces switched on. It is effectively a taxpayer-funded bailout of the steel industry, which could cost millions.

Why was Parliament dramatically recalled?

Chinese owner Jingye threatened to shut the blast furnaces and had already stopped taking raw materials.

British Steel lost £350 million in the three years to 2023 and Jingye has been locked in a dispute with ministers over plans to modernise the plant.

The situation reached a crisis point this weekend, with the steelworks just days from closure.

Sir Keir Starmer decided the Government had to step in because once the blast furnaces are turned off it is hugely expensive to switch them back on again.

Why is a loss-making plant being saved?

This became a matter of national security – the plants closure would have left the UK as the only member of the G7 group of leading economies unable to make virgin steel.

Steel is the backbone of the modern world, providing the skeletons of buildings, cars and bridges. Network Rail gets 95 per cent of its tracks from the Scunthorpe works, fulfilling orders for around 80,000 tons of steel every year. Other customers include JCB and Caterpillar.

Is the Governments push for Net Zero to blame?

Energy Secretary Ed Milibands obsession with Net Zero has exacerbated the crisis, with green levies leading to big industrial facilities in the UK paying the worlds highest energy prices.

Industrial firms fork out 25.85p per kilowatt hour, according to official figures – four times more than the 6.48p per kilowatt hour paid by US companies.

What role did Trumps trade war play?

Donald Trumps dramatic introduction of tariffs has led many to believe the era of globalisation is over.

As a result, countries will need to produce materials at home rather than using the global supply chains that have built up over decades.

But the world – and in particular China – produces too much steel. This keeps the price low and makes it expensive to produce in the UK, where wages and energy costs are high.

How have the Chinese owners behaved?

Jingye bought the plant in 2020 but has proven itself to be deeply unreliable.

The firm said it wanted to wind down the existing blast furnaces and build a new electric arc furnace, which would use greener methods to produce steel.

But the cost to do so was an estimated £2 billion and the Government was only willing to stump up £500 million of taxpayers cash.

Jingye was incensed and announced a consultation to shut the blast furnaces.

Why wasnt a law passed for Port Talbots works?

The steel plant in Port Talbot, South Wales, is also switching to an electric system of production but – unlike in Scunthorpe – the owners did

a deal with the Government. Tata is ploughing £750 million into the project and the Government is contributing another £500 million.

The existing blast furnace has, however, already been closed with the loss of 2,800 jobs. The revamped Port Talbot facility, due to open in 2027, will ultimately require fewer workers to operate.