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MoD to take full control of nuclear submarine steel firm Forgemasters

MoD to take full control of nuclear submarine steel firm amid concerns it could go bust

A steel company that makes parts for the UK’s nuclear submarine programme is close to being nationalised amid concerns it could go bust.

The Ministry of Defence is adding the final touches to a deal for Sheffield Forgemasters, which has been beset by financial difficulties. 

In 2016 defence firms BAE Systems, Babcock International and Rolls-Royce underwrote a £30million loan following an approach from a state-owned Chinese firm in 2015 about a rescue deal, which was blocked by ministers.

Strategic supplier: Sheffield Forgemasters makes parts for the UK’s nuclear submarine programme

The problems mirror those of the wider UK steel industry – British Steel went bust, Tata Steel is reviewing its plants and Liberty Steel is fighting for survival. 

Talks with the Government have been going on for six months, Sky News reported, and an announcement could be coming within days.

The Ministry of Defence said: ‘Sheffield Forgemasters is a strategic supplier to Defence; therefore we are in regular dialogue with them. It would be inappropriate to comment further.’

Sheffield Forgemasters boss David Bond said it would be inappropriate to ‘comment further on such commercial sensitivities’.

Read more at DailyMail.co.uk