Details of a plan to merge the South Yorkshire-based Speciality Steels business of Tata Steel with Sheffield Forgemasters have been reported.
Sky News is reporting that the “audacious plan” is part of an attempt by venture capitalist, Edmund Truell, the pensions and investment adviser to Boris Johnson, to become the trustee of the British Steel Pension Scheme (BSPS).
At the end of 2016, eight months after Tata announced their original intention to sell its UK steel assets, the firm made a commitment to secure the future of jobs and production at Port Talbot and other steelworks across the UK. It also reached an agreement with trade unions and began consultation with its employees on a proposal to close the British Steel Pension Scheme to future accrual.
The latest reports point to Truell, who was putting together a plan for Tata’s UK assets last year, and other pensions experts questioning the viability of Tata’s pension plan and bosses’ hopes to merge European operations with Germany’s Thyssen-Krupp “because it will leave the steelworkers’ scheme without a sponsor.”