Serious concerns have been expressed by council leaders about today’s announcement from Tata Steel.

In a WLGA Executive Board meeting, comprised of all 22 councils in Wales, council leaders spoke about their concern for the “devastating” news for communities in the region.

Councillor Rob Stewart (Swansea), WLGA Spokesperson for the Economy said:

“Today’s announcement by Tata Steel is a devastating body blow both in terms of the severe impact on the Welsh economy, and on the UK’s capacity to produce its own steel. The WLGA is clear that local government does not support this approach.”

“Steelmaking is a sovereign industry which, if removed, would leave the UK as the only G20 nation with no ability to create steel. While we support the move to arc furnaces as an additional process to be able to recycle and recreate steel, that should sit alongside the UK’s ability to make its own steel. Otherwise, just as we recently found during the energy crisis, the UK will be held ransom to international markets and supply for its steel.

“It will not do anything for climate change either as the process for creating steel via blast furnaces will still take place but in a less environmentally sustainable way in other parts of the world.

“Locally and for Wales nationally, this would be simply devastating. It will mean the loss of 2,800 jobs with an impact of over £500m to the Welsh economy in direct and indirect jobs losses.

“We urge the UK Government and Tata Steel to continue discussion with the Unions and, with the support of the Welsh Government, to protect the steelmaking industry in Port Talbot and the UK. We need to find an alternative way of making a transition to cleaner steel, which protects jobs and the Welsh economy as well as preserving the UK national infrastructure and steel making capability.”

-  ENDS -