Former Tata steel plant exec blames "Anglo-Saxo model" for industry decline

 
Jessica Morris
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Tata Steel Prepares To Make Redundancies
Tata's British business is estimated to be losing more £1m per day (Source: Getty)

A former exec at Tata's other European site said that Anglo-Saxon business model led to the industry's decline.

Peter Joustra, former managing director at Tata's IJmuiden plant in the Netherlands, said that the British operations fell victim to short-term investment decisions which were aimed at pleasing shareholders.

Read more: Tata Steel sells European business to Greybull Capital

He added that the European model of business helped to protect the Dutch plant, while ensuring a long-term investment strategy focused on innovation.

"The steel industry asks for a long-term orientation - high investments and long construction time for new installations — which does not fit in with the Anglo-Saxon model of the London financial elite," according to Joustra, who worked in the industry for 36 years, including at Tata's operations in South Wales.

Read more: Tata Steel still considering bids for its UK assets

Tata's British business is estimated to be losing more £1m per day, while IJmuiden's profit margins are currently about three per cent.

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