Cameron says there is "no guarantee" government efforts to save steel will succeed during Prime Minister's Questions

Francesca Washtell
Follow Francesca
ArcelorMittal Steel Production
Tata Steel announced it would sell its UK assets at the end of March (Source: Getty)

Prime Minister David Cameron has said there is "no guarantee" that the government's efforts to aid the steel industry will be successful.

Speaking during Prime Minister's Questions, Cameron said: "[Although] I want to do everything we can to secure the future for not only Port Talbot but for Scunthorpe and for steelmaking in Britain we are coping with a massive oversupply from China and a collapse in prices. We must therefore do all we can.

"There is no guarantee of success, but if we work hard and get a proper sales process and get behind it on a bipartisan basis we can see success here."

Read more: Global glut led by China's production boom sees sun set on UK steel industry

Cameron visited Tata Steel's Port Talbot site yesterday to assure employees and trade unions that the government was committed to supporting that national steel industry. The company announced it was looking to sell its UK assets at the end of March.

The government announced last week it would consider taking a 25 per cent stake in Tata Steel's UK business, on commercial terms, if another buyer emerged.

Fitch has warned steel prices are set to fall even lower in the near-term, despite jumping by around 50 per cent so far this year.

Business Secretary Sajid Javid will appear before the Business Select Committee on Thursday, where he will be questioned by MPs on the steel crisis.

Related articles