‘Brexit issues’ see British Steel seek government loan

The UK’s second largest steel firm, British Steel, is reportedly seeking a £75 million loan to keep trading in the coming months, due to ‘Brexit-related issues.’

British Steel revealed it is in discussions with its stakeholders on how to navigate its current situation. The company employs around 4,500 people and a further 20,000 through its supply chain.

The GMB union has called on the government to guarantee the future of the firm and safeguard thousands of jobs.

Two weeks ago, British Steel avoided a hefty fine from the EU after receiving a £100 million loan from the government to pay its EU carbon bill. Torque understands the firm has met with its lenders and the government to discuss a new loan.

British Steel’s main plant is in Scunthorpe, with other sites situated in Teesside, Cumbria and North Yorkshire.