Port Talbot’s new electric arc furnace gets the green light, but job losses cast a long shadow.

Tata Steel has secured planning approval for its £1.25bn electric arc furnace (EAF) at Port Talbot, marking a dramatic shift in the UK steel industry. The green-lighted project, set to begin construction this summer, will replace both blast furnaces that shut down last year, with operations expected to start in early 2028.

While touted as a financial and environmental game-changer, the transformation comes at a steep human cost. The closure of the site’s blast furnaces has already led to 2,500 redundancies, with an additional 300 job losses looming. Many ex-workers have left the company, leaving behind a fractured workforce still grappling with the upheaval.

Tata, which claims to have lost £4bn at Port Talbot since 2007, insists the new EAF will ensure the site’s viability while slashing carbon emissions by up to 90%. The furnace will primarily melt scrap steel, with purer materials added to refine high-grade products. If powered by renewable energy, it promises ultra-low emissions—a key selling point in an era of tightening environmental regulations.

The UK government has backed Tata’s transition with a £500m subsidy, hoping to secure the long-term future of British steelmaking. Yet, uncertainty looms. Tata Steel UK’s boss, Rajesh Nair, has admitted that global trade barriers—such as US tariffs on steel imports—remain a “significant” concern.

Despite the controversy, some industry giants are embracing the change. Machinery manufacturer JCB has already committed to purchasing “green” steel from the EAF, signalling a shift towards sustainable industrial production.

The project, led by construction firm Sir Robert McAlpine, will involve demolishing outdated structures and partially filling an on-site lagoon to accommodate new buildings. These will include the furnace complex, a fume and dust treatment plant, and a scrap processing facility.

Port Talbot’s remaining steel mills, currently reliant on imported slabs, will eventually be supplied by the new furnace. However, for the thousands who lost their livelihoods, the question remains—can this massive investment truly replace what’s been lost?