A statement released by the Department of Business, Innovation and Skills (BIS) outlined the plan today (21 April).
The packages will be in the form of debt financing, hybrid (convertible debt), alternative forms of financing or by government taking a minority stake (up to 25%) of Tata Steel to facilitate a sale. The type of support offered will be tailored to the acquirer’s needs and the type of offer tabled.
Business secretary Sajid Javid said the government is “committed to supporting the steel industry to secure a long-term viable future”.
“We are working closely with Tata Steel UK on its process to find a credible buyer. The detail of our commercial funding offer is clear evidence of the extent of that commitment,” he continued.
“Ministers have visited Tata Steel sites across the country and the pride and dedication of the highly-skilled men and women working there is obvious to see. We have already delivered on energy compensation, on tackling unfair trading practices and on procurement of British steel, and we will keep on going further to support this vital industry."
