The Labour government has confirmed a package of £500 million worth of subsidies to support the Tata Steel-owned Port Talbot steelmaking plant’s transition from blast furnaces to greener electric alternatives.
Up to 2,800 jobs will be lost in the process.
Ministers said the half a billion pounds in subsidies is contingent on 5,000 workers keeping their jobs.
Under the deal, those who accept voluntary redundancy will be entitled to a minimum £15,000 payout, plus a £5,000 ‘retention’ payment and offering paid-for training “to give workers a steady income and upskill them for the jobs of the future”.’
Secretary of State for Wales Jo Stevens said: “This improved deal secures the immediate future of Port Talbot steelworks, lays the foundations for future investment and enhances protections for the workforce across South Wales, all without further cost to the taxpayer.
“As well as negotiating a better deal than the previous government, we have already released millions of pounds of funding from the Transition Board to support businesses and workers in Port Talbot and across south Wales.
“While this is a very difficult time for Tata workers, their families and the community, this government is determined to support workers and businesses in our Welsh steel industry, whatever happens.”