Chinese firm seeks compensation over British Steel nationalisation
The Chinese firm Jingye Group plans to seek compensation from the UK government following the nationalization of British Steel. The UK government took control of the plant to ensure its viability, a move China has formally opposed.
Why it matters
The dispute highlights rising geopolitical tensions between the UK and China regarding industrial policy and foreign investment rights.
Image source, PA Media By Rachel Clun , Business reporter and Meghan Owen , Business correspondent Published 16 minutes ago The former owner of British Steel has said it will pursue the British government for compensation after the loss-making firm was nationalised.
The UK took control of the Scunthorpe steelworks a year ago after China's Jingye Group said it planned to close the site because it was not financially viable, and fully nationalised the plant on Thursday.
In a statement on Sunday, Jingye said it will seek "full compensation through legal means to the very end" over the UK's move.
A government spokesperson said draft compensation regulations due to be released in the autumn will set out a compensation process through which an independent assessor "would determine what, if any, is payable".
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