Tata Steel: Unions meet in London amid new hope at financiers' 'pledge to bring back British Steel'
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Version 0 of 1. Union leaders will meet in London to discuss the steel crisis on Monday in an effort to save thousands of jobs threatened by Tata's decision to sell its UK businesses. It comes amid renewed optimism at reports part of the industry could be saved by financiers who want to bring back the “British Steel” name. Marc and Nathaniel Meyohas, the brothers behind the Greybull investment firm, are reportedly interested in a buy-out of Tata’s Scunthorpe operation. They are ready to pour £400 million into the struggling Lincolnshire plant in a move that could potentially save about 9,000 jobs, according to the Daily Telegraph. Half of the investment would be coming from Greybull and the other half from a consortium and maybe a government loan of up to £100 million . The deal could be announced as early as Wednesday, the Telegraph reported. The Meyohas brothers could then look at a possible deal to save the Port Talbot plant in south Wales, city sources said. A Greybull spokesman said talks were continuing constructively. The government has said it is working to broker a deal with potential buyers after Tata's decision to pull out of its almost decade-long venture in Britain. Liberty House, which produces steel in Britain, has begun talks with the government over a potential partnership but does not want to buy all of Tata’s UK operation, Chairman Sanjeev Gupta said on Sunday. The possible shape of a deal was signalled by the Business Secretary, Sajid Javid, amid mounting criticism of the Government’s handling of the Tata crisis which threatens up to 40,000 jobs. Labour called for his resignation after he admitted knowing “a few weeks” ago that the Indian-based conglomerate was considering shutting its entire UK business.
Additonal reporting by Reuters |