Steel industry needs "life-saving surgery", UK Steel director says

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Sharecast News | 18 Oct, 2015

Updated : 11:06

The steel industry needs "life-saving surgery" to take it out of the current "crisis", UK Steel director Gareth Stace warned over the weekend.

His comments come amid expectations Tata Steel is planning to announce 1,200 job cuts, just weeks after the closure of SSI's plant in Teesside.

"[Business secretary] Sajid Javid needs to deliver now, in days and weeks not months and years, on energy costs, business rates costs and fair trade," Stace was quoted by the BBC as saying.

"What I would say is that we need to stem this flow of blood, not with sticking plasters but now with life-saving surgery. The steel industry really is now in crisis."

However, Javid has said "there is straightforward solution to the complex global challenges facing the steel industry".

"The government is committed to working closely with industry on both short-term and long-term issues and to doing everything we can to support both industry and the workers. A strong economy underpins everything and we will continue to focus on securing the UK’s economic recovery across the UK."

It is believed that Tata will make the job cuts in Scunthorpe and Lanarksire, and potentially also in Clydebridge, Cambuslang and Motherwell.

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