Council plans how to spend £13.5m following Tata closures

Lewis Smith Local Democracy Reporter

Neath Port Talbot Council have said they are expecting to play a “key role” in supporting businesses and people affected by changes at Tata Steel moving forward after a recent release of funding from the UK government.

The announcement came from the council leader Steve Hunt at a full council meeting held on August 6, where he addressed members and informed them that an initial sum of £13.5 million had been released from the Tata Steel/ Port Talbot Transition Board fund.

The £100m transition board was set up in 2023 in order to help those affected by changes at the town’s Tata steelworks site, with the first multi-million sum of funding being announced by Secretary of State for Wales, Jo Stevens MP at a meeting in August.

It comes after the Indian based steel giants Tata closed one of the town’s giant blast furnaces in July of 2024, with plans to close the second now expected to take place in the coming weeks.

Immediate steps

A spokesperson for the transition board said: “This funding, which is the first release of UK government funding from the Tata Steel/Port Talbot Transition Board fund, will support local businesses which are heavily reliant on Tata Steel as their primary customer, allowing them to turn towards new markets and customers where necessary.

“The funding will also be available to workers affected by the transition, allowing them to retrain or to learn new skills for the employment market.”

Speaking at the meeting, Cllr Steve Hunt, leader of Neath Port Talbot council added: “Our business support, employability and wider services have been supporting a growing number of businesses and individuals over recent months as the changes at the works has begun to impact.

“I am pleased that the new Secretary of State for Wales has taken immediate steps to release funding to enable agencies, like the council, to gear up for the increased number of businesses and people who will need help and support in the months ahead.”

He went on: “As well as focusing on those needing immediate help and support, over the coming months, I will expect the Transition Board to focus on what will be done to replace the jobs that we are losing in our local economy.”

Rob Jones who is the Labour leader for the Neath Port Talbot area said while the £13 million of funding would be welcomed it was only a drop in the ocean compared to what was needed for the local economy.

He said: “We are pleased to hear of the support for local communities affected by the issues at Tata, but this is a drop in the ocean compared to the economic disaster looming, and more money is required to support those that are losing their jobs and the effect it will have on local businesses.”