UK ministers' rescue plan for the steel industry was lambasted by MPs, who warned that nationalisation of British Steel has already cost taxpayers more than £500mn "without a clear end in sight." Losses equivalent to about £1.3mn a day have compounded Treasury fears about another costly intervention to save Speciality Steel UK.

The House of Commons public accounts committee was scathing about the government's handling of British Steel's emergency nationalisation, which by June had cost £555mn, plus £15mn in advisers' fees. Total costs could exceed £1.5bn by 2028. The government used emergency legislation in April 2025 to take control after Chinese owner Jingye halted coke imports at its Scunthorpe site.

The committee said British Steel "remains structurally unprofitable" and the government was "unable to articulate what business model or decarbonisation pathway puts the company on a sustainable footing." Clive Betts, Labour deputy chair of the committee, said it was vital to set out a plan, especially with Speciality Steel UK vying for public funds. Business secretary Jonathan Reynolds said any extra funding would come from existing budgets. Local leaders in Yorkshire are pushing to save nearly 1,400 jobs in a deprived area.