Major contract wins sees British Steel end 2016 in profit

A series of major contract wins saw British Steel ending 2016 in profit.

The company, bought from Tata by investment fund Greybull, said it was on track to deliver sustainable growth, BBC News reported.

The Scunthorpe-based business said deals had been struck to supply steel for the construction of Hinkley Point nuclear power station and rails for the Algerian and Italian train networks.

A 3% pay sacrifice made by staff after the sale is planned to be returned.

Tata announced the sale of its plant in April, which safeguarded more than 4,000 jobs.

As part of the deal, workers were asked to accept a pay cut and less generous pension arrangements.

Roland Junck, British Steel’s executive chairman, said: “I’m pleased to report that after our first seven months of trading, we are building on our promising start to life as British Steel.

“We’re already making good progress with significant contract awards from both new and existing customers across the globe.”

British Steel also has sites in North Yorkshire, Cumbria and Teesside.