UK Gov Recognises Steel as a Strategic National Asset

UK Steel is thrilled to see the government officially recognize the steel industry as a vital part of our national security. This is a significant step forward, as the new guidance now emphasizes a “British-first” approach for public contracts that involve steel.

Strengthening Procurement and Accountability

With these updated guidelines, government departments are now required to give priority to steel produced in the UK. If they choose to source steel from abroad, they must provide a clear and detailed explanation for doing so. This marks a major shift in procurement policy, building on the groundwork laid by the Steel Strategy released just last week.

The upcoming guidance is part of a larger strategic plan aimed at enhancing domestic capabilities in several key sectors, including:

• Steel Manufacturing
• Shipbuilding
• Artificial Intelligence (AI)
• Energy Infrastructure

These initiatives highlight a growing agreement among ministers on the importance of having resilient supply chains and greater economic independence in today's unpredictable global environment.

Gareth Stace, the Director-General of UK Steel, shared his thoughts on the recent development:

“This is a significant step forward and clearly shows that the Government recognizes steel as a vital national resource. By focusing on using steel produced right here at home for public projects, the Government is making a smart move to support UK industries, strengthen our supply chains, and protect our national security.

“In the past, there’s been a real lack of accountability when it comes to how taxpayer money is spent on foreign suppliers. Making it mandatory for departments to explain their choice of imported steel is a sensible and fair approach. It ensures that public funds are used in a way that maximizes benefits for British jobs, skills, and the overall strength of our economy.

“We're looking forward to seeing this guidance officially published and are dedicated to working with the Government to make sure it’s applied consistently and effectively across all major national infrastructure and public works.”