In a bold move on his last full day in office, Prime Minister Keir Starmer has seized control of British Steel, nationalising the company in a bid to safeguard its future and protect thousands of skilled jobs. The decision marks a significant departure from private ownership, as the UK government assumes control from Chinese firm Jingye, which had previously acquired the business. This move is not only a major domestic policy announcement but also a strategic gamble, aimed at securing Britain's industrial strength in a rapidly changing global economy.
The nationalisation of British Steel has been facilitated by the Steel Industry (Nationalisation) Bill receiving Royal Assent just yesterday, allowing the government to take control. In a statement, Mr Starmer highlighted the industry's importance to the nation, describing it as "part of the fabric of our nation and a cornerstone of Britain’s industrial strength." He emphasised that this move will not only safeguard jobs but also protect a vital national capability.
While attention is focused on this significant domestic development, Mr Starmer is simultaneously undertaking a high-profile visit to Ukraine. In Kyiv, he will meet with President Volodymyr Zelenskyy, marking one of his final acts as leader before stepping down tomorrow, 17 July 2026. His tenure as Labour leader concludes in favour of Andy Burnham, who is poised to take over as Prime Minister on Monday, 20 July 2026.
The focus now shifts to the incoming administration, with speculation growing over key cabinet appointments. Notably, current Home Secretary Shabana Mahmood is widely tipped to become Chancellor of the Exchequer under Prime Minister Burnham, a role previously considered for Energy Secretary Ed Miliband. Mr Starmer's nationalisation of British Steel is seen as part of his efforts to cement a lasting legacy before formally handing over power.
Mr Starmer's final weeks in office have been marked by several significant policy announcements, including the completion of a defence investment plan and securing an apology for victims of forced adoption. The Hillsborough law bill has also been finalised, underlining his commitment to key areas of domestic policy.