The Tata Steel / Port Talbot Transition Board met on 19th December 2024.
The Secretary of State for Wales and Chair of the Transition Board, Rt Hon Jo Stevens MP, sought endorsement from the Board to announce the doubling of funding to the Employment and Skills and the Supply Chain Transition Funds to £30m in total.
The Supply Chain Transition Fund has received significant demand, with almost 40 businesses employing 2,000 people having begun the application process. Grants worth millions of pounds are expected to be released in the new year. The majority of voluntary and compulsory redundancies from Tata Steel UK are expected in the new year, therefore support to businesses and individuals affected will be available during 2025/26. The funding comes from the UK Government’s £80 million to support those affected by Tata Steel’s plans to build an electric arc furnace at their Port Talbot site, which will require a reduced workforce.
The Secretary of State for Wales also sought endorsement from the Board for the widening of the eligibility criteria to access the Supply Chain Fund and increasing the overall size of grants. The change will widen the eligibility criteria, so businesses with a 30% exposure to Tata will now be able to apply, a decrease from 50%. There will also be increased Supply Chain Fund grant sizes – with the maximum ‘Business Support Grant’ increasing from £25,000 to £50,000 and the maximum ‘Capital Grant Fund’ increasing from £170,000 to £250,000. This will mean more businesses can apply, and deepen the support for businesses, workers and the local economy.
The Board also received updates on:
- Tata Steel UK’s decarbonisation programme;
- The Department of Business and Trade’s plans for a steel strategy;
- The Community Union Support Hub for affected workers;
- Mental health support services; and
- A communications plan to promote the Transition Board’s funding.
Those in attendance included: Rebecca Evans MS, Cabinet Secretary for Economy, Energy and Planning in the Welsh Government; Rushanara Ali, Parliamentary Under-Secretary for MHCLG; Cllr Steve K Hunt, Leader of Neath Port Talbot Council; Frances O’Brien, CEO of Neath Port Talbot Council; Rajesh Nair, CEO of Tata Steel UK; Dr Henrik Adam, Chair of Tata Steel UK & Vice President of European Corporate Affairs, Tata Steel Ltd; Stephen Kinnock, MP for Aberafan Maesteg; David Rees, MS for Aberavon; Tom Giffard, MS for the region of South Wales West; Luke Fletcher MS for the region of South Wales West; Anne Jessopp CBE; Katherine Bennett CBE independent members of the Board; and Alun Davies, National Officer for Steel & Metals, Community Union.
