Around 4,000 jobs could be lost as British Steel on brink of administration

According to sources, British Steel is aiming for government backing as it could fall into administration soon.

The UK and Europe’s second largest steel maker - headquartered in London - has tried to secure £75m worth of funding to help it overcome these problems ‘related to Brexit’.

If the firm does not get this money, around 4,000 jobs would be at risk, endangering 20,000 in the supply chain.

A deal must be reached this afternoon (May 21), otherwise the company could go into administration within a couple of days.

Nationalisation or MBOs are reportedly being considered alongside administration.

Due to Brexit, British Steel has also been suffering from the weakness of the pound, and has reported a reduction in its EU customer orders.

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