BRITISH Steel announced today that it will close down the blast furnaces at its Scunthorpe plant in a move that unions say could cost up to 2,000 jobs.

But bosses and the government were warned that workers will not stand back and watch the industry be dismantled.

British Steel owner Jingye Group, which is based in China, plans to shut down its blast furnaces at the Lincolnshire plant and replace them with less environmentally damaging electric arc furnaces. 

The construction is expected to take two to three years.

Unions predict the move could ultimately lead to the loss of 1,500 to 2,000 jobs, predominantly at Scunthorpe.

British Steel employs about 4,500 people across the UK.

The TUC and steelworkers’ unions Unite and Community have warned against the plan.

Unite general secretary Sharon Graham said: “There is absolutely no need for mass redundancies at British Steel. We do not accept the need for one single job cut.

“Steel is vital to the UK’s economic success, yet steelworkers are being abandoned by this government.

“The UK steel industry is at a crossroads and there is a clear political choice. Politicians must decide whose side they are on. 

“Unite is committing significant resource in our fight to save our steel industry.”

Community general secretary Roy Rickhuss said: “Were they to be realised, the plans that British Steel has announced, combined with Tata Steel’s plans, would leave the UK unable to make steel from raw materials and dangerously exposed to international markets.”

He said Community would “do whatever it takes to protect our members’ interests.”

“With the right commitment from all stakeholders, we can deliver a just transition that saves our planet, saves our jobs, and saves our steel,” he said.

TUC general secretary Paul Nowak said: “British Steel must halt these plans and get around the table with unions.

“Workers won’t stand back and watch as Britain’s steel industry is dismantled in real time.”

Labour’s shadow business secretary Jonathan Reynolds said: “The Conservatives’ sticking-plaster plans would leave the UK unable to produce any primary steel products right at the time when the entire world will be demanding these goods for the net-zero transition.”

A British Steel spokesperson said the company was committed to “providing long-term, skilled and well-paid careers for thousands of employees, and many more in our supply chains.”