Tata Steel has offered the unions a deal which could see jobs protected and investment in its site

  • Wales

Steel unions say Tata Steel has made a commitment securing the future of jobs and production at Port Talbot and other UK sites.

Representatives from every steelworks affected met with Tata Steel executives in Port Talbot today to discuss the latest proposal.That proposal includes:

  • production: guaranteed minimum five-year commitment to two blast furnace steel making, with a further commitment to reinvest in Blast Furnace 5 as part of a Capex investment plan

  • jobs: jobs pact equivalent to Tata’s agreement with steelworkers at Ijmuiden in the Netherlands, which includes a commitment to seek to avoid any compulsory redundancies for five years.

  • investment: a 10 year £1bn investment plan to support steel making at Port Talbot and secure the future of the downstream sites

  • pension: Tata Steel will begin a consultation on the closure of the British Steel Pension Scheme (BSPS) to future accrual, replacing it with a defined contribution scheme with maximum contributions of 10% from the company and 6% from employees.

The unions welcomed the proposals, but said the move to close the pensions scheme would be of 'serious concern' to all members. Union members will be balloted on the proposal in the new year.

Watch our Business Correspondent Carole Green's report: