Scottish steel plants saved after Liberty House buy-out

METALS firm Liberty House has signed a deal to buy two mothballed Lanarkshire steel plants.

Picture: John Devlin

The sale will be done under the same terms, with no cost to the taxpayer.

Liberty will take responsibility for reopening, operating and investing in the two sites as part of its wider strategy to build a sustainable steel business across the UK.

Business minister Fergus Ewing said: “When Tata Steel mothballed the Dalzell and Clydebridge plants, I said we would leave no stone unturned in the quest to find an alternative buyer. That is why we established a Scottish steel taskforce and why I am delighted that our support for the steel industry has paid off.”

The government recently announced a cut in business rates at the plants from April for any new operator, provided they continue to use the sites for steel production.

Mr Ewing added: “Liberty has a proven track record in the UK steel industry and has ambitions to make these plants viable and successful.

“It’s a huge tribute to the calibre of the highly-skilled workforce, and the efforts of everyone on the taskforce, that Liberty recognise the tremendous potential of Scottish steel.”

Sanjeev Gupta, executive chairman of Liberty House Group, said: “Now we must turn our attention to restoring these businesses to their former glory, steadily rebuilding their skilled workforces and customer base.

“Clydebridge and Dalzell will fit well into our vision for an integrated, flexible and sustainable steel sector, from recycled local scrap using renewable energy-making green steel to value-added downstream and engineered products.

“We’re grateful for the support of the Scottish Government and Scottish Enterprise in enabling us to reach this very positive historic agreement.”

Bimlendra Jha of Tata Steel’s Long Products Europe business said: “This has been achieved with the determination and support of employees, trade unions and the Scottish Government all working together.”