Thousands of Port Talbot steel workers at risk of losing their jobs with decision expected tomorrow

More than 3,000 jobs are at risk at the country’s biggest steelworks – with a decision on the workforce expected to be made on Friday.

Tata Steel in September confirmed details reported by Sky News that it had secured taxpayer cash to support the Port Talbot plant in South Wales transition to cheaper, greener steel production.

Job losses had been expected as part of the deal.

Today, sources confirmed the steel giant is to press ahead with plans to close blast furnaces at its biggest plant.

The redundancies, to be completed by March next year, will see three-quarters of the 4,000 staff on site at risk of losing their jobs, PA has said.

Sky News understands an announcement about the closure will not be made today, because staff are yet to be informed.

The workforce currently accounts for 12% of the coastal town’s entire population and many had expressed concerns for their families’ futures when it emerged that big job losses were expected.

Unions were due to meet the company on Thursday after presenting alternative proposals aimed at saving jobs but PA sources said Tata rejected the plan.

A Treasury aid package, worth £500m, will be handed over to support sacked staff and the decarbonisation effort in return for an investment commitment from Tata of around £700m.

India-based Tata will replace the two blast furnaces at the plant with electric arc furnaces under the plan to reduce emissions and costs.

Unions are expected to consult their members on how to respond to any potential job losses, with industrial action possible.

Speaking before the announcement Roy Rickhuss, the general secretary of the Community union, said he was “determined to maintain steelmaking in Port Talbot”

“If Tata is not prepared to listen then we could be heading towards a very significant industrial dispute,” he added.

“Whilst the unions are braced for bad news, we are prepared to fight.”

The viability of domestic steel production has been hampered over many years by high UK energy prices, which have damaged competitiveness.

To that end, the GMB union has claimed that up to 2,000 jobs at British Steel’s Scunthorpe plant are also under imminent threat.

The Chinese-owned company cut 7% of its workforce in February.

That was despite continuing government talks with Jingye Group about potential taxpayer aid at the time.