Its ambitious decarbonisation plan could put thousands of jobs at risk. 

The company – owned by China-based Jingye – has announced its intention of closing down the blast furnaces as part of a £1.25bn effort to shift to electric steelmaking operations, which would make British Steel “a clean, green and sustainable business”. 

The firm’s green plan includes the building of two EAFs located in Scunthorpe and Teesside, as well as the shutting of its polluting coal-fired blast furnaces.

The EAFs are expected to reduce British Steel’s carbon dioxide emissions by 75 per cent. They could be in operation by late 2025, the company said.

Chief executive Xijun Cao said the move was necessary in order to meet the company’s environmental commitments.

“We have engaged extensively with the public and private sector to understand the feasibility of producing net zero steel with our current blast furnace operations. However, thorough analysis shows this is not viable...