STEEL unions have welcomed a government package worth up to £2.5 billion to secure the industry’s future after US President Donald Trump’s threat to impose a 25 per cent import tariff on its products.

Announcing the funding, Business Secretary Jonathan Reynolds said the tariff, due to come into force next month, would cause damage on both sides of the Atlantic.

A consultation has been launched on the long-term issues facing the sector, such as high electricity costs, unfair trading practices and scrap metal recycling.