Tata Steel: Vaughan Gething criticises Kemi Badenoch on 'lack of dialogue' over impending deal

Industry sources close to the negotiations told Sky that as many as 3,000 of the company’s staff based in the UK could lose their jobs. Credit: PA Images

The Welsh Government has criticised the UK Government for allegedly refusing to engage with ministers in Cardiff over a reported deal to secure the future of Tata Steel in Port Talbot.

It is understood the UK Government is poised to announce a £500m subsidy alongside a £700m investment from the Indian company into the operations to help it move to greener forms of steelmaking, The Financial Times has reported.

The company would reportedly commit to building electric arc furnaces, which offer greener, less labour-intensive ways of producing steel than traditional blast furnaces.

Industry sources close to the negotiations told Sky that as many as 3,000 of the company’s staff based in the UK could lose their jobs.

Last year, Tata Steel warned its entire UK operations were under threat unless it received government funding to help it reduce its carbon emissions.

An announcement on the agreement is expected to come on Friday.

Port Talbot employs half of Tata's overall workforce in the UK

On Thursday, Economy Minister Vaughan Gething said he had met with the First Minister and Climate Change Minister following the media reports, but called on the UK's Business Secretary to engage in a "regular formal dialogue on this matter".

Mr Gething posted on X (formerly Twitter) sharing two letters he has written to Kemi Badenoch in the last few days.

In the latest one, dated 13 September, he said: "I first approached you seeking a meeting back in February.

"With the reports in the press that a deal might be imminent it was critical that we had the opportunity to discuss the progress of your negotiations with Tata Steel and the implications not only for the company but for the workforce, the community and the whole of the sector."

Mr Gething raised concerns about the reported loss of 3,000 jobs as a consequence on the deal.

"I also want to understand what engagement is taking place with the unions in the development of any deal between the UK Government and Tata Steel to ensure a just transition", he added.

He further reiterated his request for an "urgent meeting".

"The Welsh Government will have decisions to take whatever the outcome of your talks and it is in the interests of all parties that we are engaged in a predictable, ongoing dialogue."

ITV News Wales has contacted the UK Government for a response.