Reform UK's Richard Tice has branded British Steel's potential closure of two blast furnaces at Scunthorpe as "absolutely bonkers", calling for immediate Government intervention.
British Steel announced on Thursday it will consult on the potential closure of its two blast furnaces and steelmaking operations at Scunthorpe.
He described the situation not as a negative but as "an opportunity" for Britain to secure its strategic steel manufacturing capabilities.
Tice explained: "British people do not want to give up on steel. This is actually it's not a negative.
Richard Tice blasted the closure and said it is an "opportunity"
GB NEWS
"This is an opportunity. What should happen is the Government should take British Steel into public ownership, invest in refurbishing the two blast furnaces, which are the last two blast furnaces we've got in this country.
"That will then bring down the operating cost and then use the long term procurement opportunities from the public sector and from British industry and from our defence industry.
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"The Government has been making a big song and dance about that to buy British Steel. It's a great opportunity. We can bring in some long term British pension funds to invest alongside it, and we can make a great thing of this.
"So I think we should turn this negative into a positive. That's what I've challenged the Government to do. That's the Reform UK position."
He added: "I exposed that the Ministry of Defence doesn't have British Steel or Tata Steel as a strategic supplier of steel, which is completely bonkers.
"So at the end of the day, it's about common sense and doing the right thing for British industry and the British economy.
"Our plans are the right thing. It's not a left thing or a right thing or whatever. It's the correct thing to do for British industry."
British Steel's chief executive Zengwei An described the decision as "necessary given the hugely challenging circumstances the business faces".
The company stated the blast furnaces are "no longer financially sustainable" due to tough market conditions, tariffs, and higher environmental costs.
British Steel is reportedly losing £700,000 daily at its Scunthorpe operations.
The two blast furnaces at Scunthorpe could be replaced with a single electric arc furnaceReutersUS President Donald Trump's recent imposition of global tariffs of 25 per cent on all steel imports has dealt another blow to the company.
Britain's steel exports to the US are worth over £400million a year, representing about 5 per cent of UK steel exports, according to industry body UK Steel.
Business minister Sarah Jones confirmed: "We made an offer to British Steel on Monday and they have rejected that offer. We are still in talks with them at the moment."
British Steel said it would continue working with the government to explore options for the business.
