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Scunthorpe: 'Double standards' for English steel, politicians say

Scunthorpe: 'Double standards' for English steel, politicians say

BBC News12-04-2025
Welsh politicians have accused the UK government of double standards over an emergency bill to protect steel in England.In a debate discussing a proposed British Steel law to save a Scunthorpe plant, Plaid Cymru and Liberal Democrat MPs criticised the government's plans, saying it had failed to do the same for Port Talbot.Liz Saville-Roberts, Plaid's Westminster leader, said: "Scunthorpe gets security, Port Talbot gets a pittance."The bill has since been approved by Parliament and UK ministers say the two steel works are in different situations, and Port Talbot is in a better position because of the Labour government.
Traditional steel production in Wales came to an end in September, with the loss of some 2,800 jobs at Tata Steel's Port Talbot plant.The site is now transitioning to greener steel production with a new electric arc furnace, which requires fewer workers to run, expected to be in place from 2027.The closure of the blast furnaces was controversial in Wales, with Plaid politicians calling for nationalisation of the steel works.Speaking during the debate, Ms Saville-Roberts said Wales' first minister Eluned Morgan had dismissed her party's calls for nationalisation of Welsh steel as "pipe dreams"."This government did not intervene in Wales," she said.
"Plaid Cymru believes Port Talbot could and should have received equal treatment alongside Scunthorpe."The measures we are debating today would have been able to be used to save the blast furnaces at Tata Steel in Wales."People in Wales will not forget today, today is a day of bitter, bitter disappointment for Port Talbot."Speaking to BBC Wales, Secretary of State for Wales Jo Stevens described the situation at the plant in Scunthorpe as being "very different" to that in Port Talbot. "It's the only site in the UK where virgin steel is made, and that's why it's a matter of national importance, strategic importance," said Ms Stevens.
David Chadwick, spokesperson for the Welsh Liberal Democrats, said the closure of the blast furnaces had started a decline in economic activity south Wales that affected his constituency. He said: "It's rubbing salt in the wounds for the people of Port Talbot to now hear the government acknowledge the importance of primary steel production as a strategic national asset"Where was this urgency when Welsh steel communities were crying out for support, when Tata Steel announced over 2,800 job losses in Port Talbot last year, the largest steel works in the country, a key strategic asset, the manufacturing heart of south Wales."Mr Chadwick, MP for Brecon, Radnor and Cwm Tawe, whose grandfather worked in the blast furnaces, added: "The simple fact is this, the government did not recall parliament for Port Talbot. It did not recall parliament for Wales."When crisis hits in Wales, it's tolerated."When it hits elsewhere, it becomes a national emergency."
In a post on X, Tom Giffard, Conservative MS for south west Wales, said steel workers in Port Talbot were promised a Labour government would change everything for the steel industry."They then sold them down the river by changing nothing, and only taking action when jobs elsewhere were under threat. Labour simply doesn't care about south Wales," he added. Business Secretary Jonathan Reynolds told the Commons the Port Talbot deal was negotiated by the previous Conservative government."We were not able to reopen the deal, but we did negotiate a better deal," he said.Speaking on BBC Breakfast ahead of the debate, the industry minister, Sarah Jones, said: "When we came into government, there was a deal on the table with Tata Steel in Port Talbot."We negotiated in 10 weeks a much better deal, but there was a private company willing to invest, who are now investing."We have maintained 5,000 jobs on the site and there will be a future for that site with an electric arc furnace."There is no such deal on the table at the moment [for Scunthorpe], that's what is different."The other difference is that these are the last blast furnaces making primary steel that we have in this country, and also what is different of course is that the world is changing."As we have seen with the Prime Minister's support for our defence industry in recent times, we need to ensure as a country we have sovereign capability to make steel, and that is what we are securing today."
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Collier-Keywood is adamant that the key question isn't around 'four, three or two', but rather a host of key decisions beyond the number of professional teams in Wales. Article continues below However, as much as they will want to focus on other things, the fact of the matter is that the 'four, three or two' question is what people will focus on. It's only natural when jobs are on the line. In terms of how we will get to two, there's no answer yet on that one. Instead, the focus from the WRU hierarchy is whether or not two will even be the final decision. Sign up to Inside Welsh rugby on Substack to get exclusive news stories and insight from behind the scenes in Welsh rugby. "I think that the first step is to look at the model that we've proposed, and then depending on where we get to, we can start to really focus on locations and names and all those really important elements of it," said Reddin. 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And so you'll see in there that, depending on which option it is, it could take us a while to get there. ‌ "Our desire is to get there as quickly as possible, because we obviously believe that a change is required for what should be. The purpose of the consultation is to find out the form of that change, and then we will implement with all speed possible to get to that final answer." When asked again directly which two teams they would 'condemn to death', Collier-Keywood added: "We don't know whether we're condemning two teams to death, three teams to death, no teams to death, or whether it's all four teams, and there'll be two new operations emerging from it. That's the purpose of the consultation." The reaction amid more upheaval - is a strike an option? Players have been been fed dribs and drabs in recent weeks, hearing conflicting things within Welsh rugby's rumour mill. For example, the Ospreys were told recently that two was a likely outcome, with some important people thought to favour Swansea as a location. ‌ Undoubtedly, other sides have heard other things. There are other models within the WRU's 90-page consultation document, including those featuring three professional men's teams in Wales. That's understood to be the Welsh Rugby Player Association's preferred option, although the union document insists the chances of success are stronger with two sides. As such, it's not unreasonable to question whether a player strike - given the loss of playing opportunities at stake - could be on the cards. ‌ "Of course we've spoken about that, we want to closely engage with the players," said Reddin. "We started last evening, we're going to run as many meetings as possible with the players so that they understand the perspective and the opportunity. "What I would hope and you know early indications are positive that people really want to listen and be engaged in what the great wealth system going forwards could look like. So we want to work really closely and communicate with them because of course a strike would be a disaster for everybody. "I've experienced that with England where I've been many years ago, it was not a good time and I don't think it would take our agenda forward but I think that the guys last night asked really intelligent questions, really engaged in the process. And I think they understand the big picture, so I hope that's really going to take us to a good place. ‌ "I understand it is tough. It's not the ideal timing, but I think we can't wait any longer. We need to move forward to what the future can look like." As for the reaction of fans, you don't need to search for too long to find overwhelming outrage over the suggesting of going down to two. In fairness, change is rarely welcomed in Welsh rugby - even if WRU bosses insist there is an appetite for it. "All the fans that I speak to, and I speak to a lot, agree that we need to do something radically different," said Tierney. ‌ "We have put a proposal out there to be shot at – please shoot at it, and shoot at it constructively, because I can't remember somebody yet who hasn't said we need to do something different or change." Heavier WRU influence - but ripping up the system for £7.8m-a-year? One of the facets that has already caused consternation amongst regional fans is the suggestion of heavy WRU influence within the professional clubs moving forward. The preferred choice for the Union would be to control the rugby side of matters, with private investors owning the club and taking the commercial profits. ‌ Tierney compared it to the New Zealand licence model, adding that talks with benefactors would take place to understand the "emotional connections that they want to maintain" How current benefactors would feel about not having any input in the rugby part of the business - given the WRU admitted in their 90-odd page plan that the professional clubs are currently, without external funding, not viable businesses given commercial and competition income covers around only 50 per cent of costs - remains to be seen. "We're in dialogue with existing team owners about this proposal and we expect them to input to it," added Collier-Keywood. "As I said before, we obviously want more control on the rugby side, so we're in dialogue with them. There's going to be a continuum on that matter. ‌ "We also, as many of you know, asked for expressions of interest in Cardiff and we had several, so there's also some other potential investors out there as well, which we are cognisant of. At the end of the day, we want an investable proposition. "We don't want to have to face the situation again where the clubs in Wales are struggling financially and one of the graphs (in the pack released by the WRU) is looking at our performance against the money we put in and it's quite clear that from 2019 onwards our performance has fallen off a cliff in terms of the men's elite game and you know that is the time when money was cut dramatically into Welsh rugby and we're still struggling to recover from that. "We will be releasing our financial results in a couple of weeks time. I hope you see there that we've turned the finances around in the WRU. We're now doing a lot better financially than we were compared to where we were two years ago and so we have some money to invest and this is a good time for us to go and consult how we want to invest that money collectively on behalf of large rugby." ‌ Whether that means there's enough money to invest properly in Welsh rugby remains to be seen. The WRU's 'optimal system' promises higher budgets and less of a reliance on private investors - but £7.8m-a-year is less than the Scarlets had the year after they won the Pro12 title back in 2017. And, while the WRU might say it compares well to English and French clubs (leagues with salary caps), it wouldn't make them the biggest-spenders in the United Rugby Championship. ‌ Two teams, but what competition? That brings us neatly onto the question in Welsh rugby. What league will four, three or two clubs be playing in a few years down the line? It's the go-to question, dominating the agenda for over a quarter of a century. But now, more than ever, it's very, very pertinent. If Welsh rugby is to make a system whereby private ownership only benefits from commercial profits, then it needs to play in a competition that brings those financial rewards. It's not a stretch to say that the Gallagher PREM offers that more than the United Rugby Championship, particularly given the latter's apparent stretch for American teams. ‌ Of course, the WRU's allegiances currently lie with the URC. The bizarre scenario of two WRU-funded - surviving, if you like - teams remaining in the URC, while the remaining two head over the bridge to find solace in England was put to Reddin, Tierney and Collier-Keywood. Perhaps surprisingly, it wasn't shot down immediately - even if Tierney eventually admitted that it was "getting way into the future of hypotheticals". She went on to suggest the idea two clubs that were no longer supported by WRU could play in the English Premiership franchise would be "very, very difficult," to make happen given the minimum standards and salary requirements. ‌ As for the prospect of the chosen clubs being offered up a way into an Anglo-Welsh league someway down the line, that was met with a straight bat from Reddin. "I think that we've got to think bigger picture longer term," he said. "In the short term that's not a viable option. "So I think what we're dealing with is what we've got at the moment. We've competed in the URC, that's our focus, we want to be winning the URC, that's the ambition." ‌ 'Unashamedly a radical decision' - a new 'national campus' Clearly the part Reddin is most excited about is the creation of a new shared 'national campus' which would house - should the optimal system be implemented - two professional men's clubs and the men's national team. "The campus is about creating a defensive moat for Welsh rugby," said Reddin. "It's about creating competitive advantage in the future. Quite how the campus would be funded or where it would even be built remains to be seen. Reddin has previous experience of a similar base with St George's Park at the Football Association. ‌ He admitted he had drawn a little from that, as well as other experiences from different sports around the world. However, this would be the first of its kind in rugby - with two professional teams and the national team training out of the same building - with initial plans showing six pitches, two indoor 4G pitches, shared facilities such as medical, S&C and catering spaces, and then environments solely for individual teams. "At its essence, the proposal is about how do we really supercharge collaboration and alignment? How do we really bring people together? ‌ "Because, as I said in the intro, for a small nation, with real proximity, we haven't done that very well. So we need to think about how do we do that differently. It hasn't worked well through an agreement. There's inherent frictions there. It hasn't worked well just by force of personalities. "What are we gonna do better and differently to any other nation if we believe we can out-compete them? Because performance is a dynamic environment. "All of our competitors, whether we are clubs or whether we are national teams, are not sitting on their hands doing nothing for the next five years. I think what we want us to what I want us to focus on is what advantages do we have in Wales and how do we supercharge those advantages." ‌ It is a radical part of the plan that Reddin admitted afterwards he was expecting pushback on. For him, clearly, the message to the public is to look past the perceived flaws and see the possible opportunities. Improving Super Rygbi Cymru If there is to be a reduction in the number of professional clubs, that will only serve to increase the reliance on Super Rygbi Cymru as a pathway. Reddin expressed his desire to grow the league in a similar way to the NPC in New Zealand or the Championship in England, with the WRU at pains to state that any cut in teams would open up added funding for the SRC. ‌ Collier-Keywood also believes that the league could offer a greater affinity for fans, should the number of sides at the top level be reduced. "I think there's obviously a danger that everyone is focused on the 'four, three or two' question but I would encourage you to look at a holistic change that's being proposed here," he said. "For example, we previously had a wider group of historic clubs that everyone would call 'the real clubs'. "Several times in this role, people have said to me the regions are not clubs in the same way. This proposal does include a significant investment into the SRC clubs to try and create that additional element of pathway that we've lacked in Wales that has really caused some difficulty in the past with bringing through elite players. Article continues below "We're trying to fix the whole system as opposed to just to focus on the 'four three or two' question."

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