The UK government has announced its plan to take control of Speciality Steel UK (SSUK), a steelmaker based in Yorkshire that entered administration last year. SSUK, which specializes in producing "green steel" using less-polluting electric arc furnaces, has been managed by the government’s official receiver since its financial collapse. The move aims to safeguard the 1,300 jobs at its plants in Rotherham, Stocksbridge, Brinsworth, and Wednesbury. SSUK was once part of the business empire of Sanjeev Gupta, a prominent British industrialist. The company became insolvent due to long-term financial difficulties, worsened by the collapse of its main lender, Greensill Capital, in 2021. At that time, a high court judge described the company as "hopelessly insolvent," with only £650,000 in cash after depleting its reserves. Since then, the government has been covering the salaries of SSUK workers at a cost of £3.5 million per month, while the plants have been non-operational for the past year. The government had previously been in discussions with Blastr Green Steel, a Norwegian startup, about a potential private sector purchase of SSUK. However, these hopes faded after a June deadline for finalizing a deal passed without success. Business Secretary Jonathan Reynolds said the government would "work towards" acquiring the company, highlighting its strategic importance for the UK’s industrial future. He emphasized that while the government typically avoids intervening in private businesses, it could not allow the company’s future and the jobs it supports to be decided by default. Reynolds also stated that the government would explore various options in collaboration with local leaders, workers, and investors to ensure the best long-term future for these steel plants. He noted that the sites could be crucial for key sectors in the UK’s industrial strategy, such as defense and advanced manufacturing. Although the government had initially favored a private buyer, officials concluded that Blastr’s offer would not provide the stability needed for SSUK. Meanwhile, the government has pledged up to £2.5 billion for the steel industry through its national wealth fund, with £500 million designated to convert traditional blast furnaces into more sustainable electric arc furnaces. South Yorkshire’s mayor welcomed the government’s decision, calling it a vital step in supporting steelmaking communities that have faced economic challenges.