British Steel considering 800 job cuts in Lincolnshire

British Steel is considering 800 job cuts centred on its Scunthorpe plant, the BBC understands.

The company has started to develop the plans, though the paperwork required before a formal consultation on redundancies has not yet been submitted.

British Steel, owned by the Chinese group Jingye, declined to comment on the plans.

It employs around 4,500 workers in the UK.

Sky News reported that the plans include the closure of the coking ovens at the firm's Scunthorpe site.

British Steel is currently in the final stages of negotiation with the government over a £300m support package, which was contingent on further investment from the parent company and guarantees over jobs.

Making steel is expensive, especially with energy prices at current levels, and ministers fear that if they do no act parts of the business could be shut down.

Commenting on the planned cuts a government spokesman said: "The Business Secretary considers the success of the steel sector a priority and continues to work closely with industry to achieve this."

The Community Union, which represents steelworkers, has expressed concern at the planned cuts.

National officer Alun Davies said: "This move would represent a betrayal of [British Steel's] loyal workforce and their commitments to invest in the business.

"Steelworkers played their part to protect our steel industry and are being failed by both the government and British Steel who are abdicating their responsibilities to the workforce and our country."