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Tata Steel crisis: David Cameron says nationalisation of steel industry is 'not the answer' Sajid Javid urged to quit amid claims he went on holiday as steel industry plunged into crisis
(about 5 hours later)
David Cameron has insisted the Government is doing "everything it can" to deal with the escalating steel crisis - but said nationalising the industry is not the solution.  Sajid Javid is facing calls to quit after it emerged he took his daughter with him on a trip to Australia while the UK's steel industry faced a crisis.
The PM was speaking amid growing fears of huge job losses in the industry following the annoucement that Tata Steel is to sell its UK assets, putting up to 40,000 jobs at risk. The Cabinet minister has cut short his visit to Sydney to return to the UK following the the shock decision by Indian conglomerate Tata to sell its UK assets.
But the plant's local MP and unions were furious that Mr Javid appears to have gone on the trip for not "entirely work-related" reasons, with his teenage daughter accompanying him.
Mr Javid had yet to arrive back in the UK when David Cameron held an emergency meeting of ministers in Downing Street to discuss Tata's decision, which could put thousands of jobs at risk.
A spokesman for the Business Secretary said: "We can confirm that Mr Javid's daughter accompanied him on his visit to Australia. There was no cost to the taxpayer."
Labour MP Stephen Kinnock, whose Aberavon seat includes the Port Talbot plant, said Mr Javid should consider quitting, claiming the latest revelation was a further indication of the Government's lack of interest in the steel industry.
Mr Kinnock travelled to Mumbai with representatives of the workforce including the Community union's general secretary Roy Rickhuss in an attempt to lobby Tata to keep the loss-making steelworks open.
"We have known for months that 29 March was going to be D Day for the British steel industry, with up to 40,000 jobs on the line," he said.
"The Business Secretary was not even in the country, he chose to jet off to Australia. He should have been in Mumbai with me and Roy Rickhuss."
The developments follow David Cameron's insistence that nationalising the industry is not the solution. 
He said: "The situation at Port Talbot is of deep concern. I know how important those jobs are.He said: "The situation at Port Talbot is of deep concern. I know how important those jobs are.
"Those jobs are vital to workers' families, vital to those communities and the Government will do everything it can working with the company to try and secure the future of steelmaking in Port Talbot and across our country, it's a vital industry.""Those jobs are vital to workers' families, vital to those communities and the Government will do everything it can working with the company to try and secure the future of steelmaking in Port Talbot and across our country, it's a vital industry."
Mr Cameron said energy costs in the industry had been cut and the Government had helped to make sure there were penalties for steel dumping.Mr Cameron said energy costs in the industry had been cut and the Government had helped to make sure there were penalties for steel dumping.
"We are not ruling anything out. I don't believe nationalisation is the right answer.""We are not ruling anything out. I don't believe nationalisation is the right answer."
Around half of all British steel goes to other EU countries, the Prime Minister said.Around half of all British steel goes to other EU countries, the Prime Minister said.
He added: "We need to be in there making sure the markets are open. If we were on the outside we might well find that it was our steel that was having those tariffs and those taxes put upon it."He added: "We need to be in there making sure the markets are open. If we were on the outside we might well find that it was our steel that was having those tariffs and those taxes put upon it."
Amid signs of disarray in Whitehall, Downing Street has also rejected demands made by Jeremy Corbyn for the recall of Parliament.Amid signs of disarray in Whitehall, Downing Street has also rejected demands made by Jeremy Corbyn for the recall of Parliament.
As criticism of the Government’s handling of the crisis grew, Unite union boss Len McCluskey said the Prime Minister should take “personal responsibility”, warning that there was a risk not just to the British steel industry but to the UK’s entire manufacturing base.As criticism of the Government’s handling of the crisis grew, Unite union boss Len McCluskey said the Prime Minister should take “personal responsibility”, warning that there was a risk not just to the British steel industry but to the UK’s entire manufacturing base.
He told BBC Radio 4’s Today programme that the Government should follow the example of Scotland, where the government temporarily purchased two steel plants at risk of closure, in order to sell them on to a new operator. He told BBC Radio 4’s Today programme that the Government should follow the example of Scotland, where the government temporarily purchased two steel plants at risk of closure, in order to sell them on to a new operator. 
He called for a steel taskforce “with the Prime Minister at its head”. He called for a steel taskforce “with the Prime Minister at its head”. 
Labour’s Shadow Chancellor echoed calls for the Government to follow the Scottish approach of temporary nationalisation. Labour’s Shadow Chancellor echoed calls for the Government to follow the Scottish approach of temporary nationalisation. 
He told Today: "In the long-term, it will prove cost-effective.He told Today: "In the long-term, it will prove cost-effective.
"It isn't just the cost of losing those jobs, as we've seen elsewhere it's the cost of devastation of whole communities and, remember, we will be paying out in unemployment benefits and other benefits to those people who lose their jobs."It isn't just the cost of losing those jobs, as we've seen elsewhere it's the cost of devastation of whole communities and, remember, we will be paying out in unemployment benefits and other benefits to those people who lose their jobs.
Stephen Kinnock, Labour MP for the South Wales constituency of Aberavon, told Sky News on Thursday morning he was “flabbergasted by the incompetence” shown by the government over the crisis.Stephen Kinnock, Labour MP for the South Wales constituency of Aberavon, told Sky News on Thursday morning he was “flabbergasted by the incompetence” shown by the government over the crisis.
"It’s a total shambles, and it’s been a shambles for years," he said. "It’s absolutely extraordinary that they’ve been asleep at the wheel for this long.""It’s a total shambles, and it’s been a shambles for years," he said. "It’s absolutely extraordinary that they’ve been asleep at the wheel for this long."
Kinnock also said that the steel industry has been facing problems for five or six years, including the dumping of Chinese steel, expensive energy - and not enough action on public procurement. Kinnock also said that the steel industry has been facing problems for five or six yesajid Javid irged to resign amid claims he went on holiday with daughter at height of steel crisisars, including the dumping of Chinese steel, expensive energy - and not enough action on public procurement.
Sajid Javid, the Business Secretary, has cut short a visit to Australia following criticism of his absence from the country when so many British jobs hang in the balance.Sajid Javid, the Business Secretary, has cut short a visit to Australia following criticism of his absence from the country when so many British jobs hang in the balance.
He has already been attacked for failing to join politicians and union leaders who flew to India to lobby Tata’s main board as it discussed the fate of its British operations. He has already been attacked for failing to join politicians and union leaders who flew to India to lobby Tata’s main board as it discussed the fate of its British operations. 
The conglomerate opted to pull the plug on its Tata Steel plants in Britain, which are losing nearly £1m a day, as soon as possible. It employs 15,000, including 4,000 at Port Talbot in south Wales where steel has been produced for more than a century.The conglomerate opted to pull the plug on its Tata Steel plants in Britain, which are losing nearly £1m a day, as soon as possible. It employs 15,000, including 4,000 at Port Talbot in south Wales where steel has been produced for more than a century.
The IPPR think-tank calculated that a further 25,000 jobs depend directly on the company, including iron producers, coke and petroleum suppliers and machinery manufacturers. It said its calculations did not take into account the impact on local businesses of steel workers losing their livelihoods. Ministers pressed Tata to delay its plans to mothball the plants in order to identify potential buyers for its British business, but sent out conflicting signals over how best to rescue the steel jobs.The IPPR think-tank calculated that a further 25,000 jobs depend directly on the company, including iron producers, coke and petroleum suppliers and machinery manufacturers. It said its calculations did not take into account the impact on local businesses of steel workers losing their livelihoods. Ministers pressed Tata to delay its plans to mothball the plants in order to identify potential buyers for its British business, but sent out conflicting signals over how best to rescue the steel jobs.
Business minister Anna Soubry has previously refused to rule out nationalising parts of the ailing industry, insisting that “all options” were being considered by the government. But Mr Javid, who described the industry as “absolutely vital for the country”, later said he did not believe that nationalisation was “the solution” to the crisis. Business minister Anna Soubry has previously refused to rule out nationalising parts of the ailing industry, insisting that “all options” were being considered by the government. But Mr Javid, who described the industry as “absolutely vital for the country”, later said he did not believe that nationalisation was “the solution” to the crisis. 
Mr Cameron flew back from his family holiday in the Canary Islands to hold talks with ministers and officials on the situation.Mr Cameron flew back from his family holiday in the Canary Islands to hold talks with ministers and officials on the situation.
Downing Street is expected to focus on providing short-term state aid to Tata to keep its UK plants operating while one or more buyers are sought, although ministers would have to operate within European Union rules over state aid.Downing Street is expected to focus on providing short-term state aid to Tata to keep its UK plants operating while one or more buyers are sought, although ministers would have to operate within European Union rules over state aid.
The rival camps in the EU referendum campaign clashed over where the blame lies for the crisis.The rival camps in the EU referendum campaign clashed over where the blame lies for the crisis.
Vote Leave pointed to Britain’s inability to take unilateral action against cheap Chinese steel and to the bloc’s restrictions on state aid.Vote Leave pointed to Britain’s inability to take unilateral action against cheap Chinese steel and to the bloc’s restrictions on state aid.
But a spokesman for Britain Stronger in Europe said: “Over half our steel exports go to the EU and leaving could actually make the situation worse.”But a spokesman for Britain Stronger in Europe said: “Over half our steel exports go to the EU and leaving could actually make the situation worse.”