Hunt mulling £300m rescue package for British Steel

Chancellor Jeremy Hunt is nearing a £300.0m air package for British Steel, the UK's second-largest steel producer, as part of an effort to avoid the group's collapse and save thousands of jobs.

According to Sky News, Hunt has been advised by officials to approve a request from British Steel for public money following an intervention by business secretary Grant Shapps and levelling-up secretary Michael Gove.

British Steel will likely receive a decision from Downing Street within a matter of days, with the handout likely to be given to the group in installments over the next few years.

Jingye Group, British Steel's Chinese parent company, will also be required to pour at least £1.0bn into the business by 2030 and also make certain commitments linked to job retention, Sky's source said.

As of 1615 GMT, Jingye shares were up 1.46% at CNY 9.72 each.

Reporting by Iain Gilbert at Sharecast.com