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| British Steel on verge of administration | British Steel on verge of administration |
| (32 minutes later) | |
| British Steel is on the verge of administration as it continues to lobby for government backing, sources say. | British Steel is on the verge of administration as it continues to lobby for government backing, sources say. |
| The UK's second-biggest steel maker had been trying to secure £75m in financial support to help it to address "Brexit-related issues". | |
| If the firm does not get the cash it would put 4,000 jobs at risk and endanger 20,000 in the supply chain. | If the firm does not get the cash it would put 4,000 jobs at risk and endanger 20,000 in the supply chain. |
| Company sources said that the direction of talks with the government would become clearer in the coming hours. | Company sources said that the direction of talks with the government would become clearer in the coming hours. |
| As first reported on Sky News, according to insiders the request for emergency financial support from the government has been reduced from £75m to about £30m. | |
| The report said British Steel shareholder Greybull Capital and lenders had agreed to pump new money into the firm. | |
| Unless a deal is reached by Tuesday afternoon, the firm could go into administration within 48 hours. EY would be expected to be appointed as administrators on Wednesday. | |
| In a statement, the Department for Business, Energy and Industrial Strategy (BEIS) said: "As the business department, we are in regular conversation with a wide range of companies." | |
| Weak pound | |
| Last Thursday, British Steel said it had the backing of shareholders and lenders and that operations continued as usual while it sought a "permanent solution" from the government to its financial troubles. | Last Thursday, British Steel said it had the backing of shareholders and lenders and that operations continued as usual while it sought a "permanent solution" from the government to its financial troubles. |
| It is understood that along with administration, nationalisation or a management buyout are being discussed as fall-back options for the company. | It is understood that along with administration, nationalisation or a management buyout are being discussed as fall-back options for the company. |
| British Steel's troubles have been linked to a slump in orders from European customers due to uncertainty over the Brexit process. | British Steel's troubles have been linked to a slump in orders from European customers due to uncertainty over the Brexit process. |
| The firm has also been struggling with the weakness of the pound since the EU referendum in June 2016 and the escalating trade US-China trade war. | The firm has also been struggling with the weakness of the pound since the EU referendum in June 2016 and the escalating trade US-China trade war. |
| Greybull Capital, a private equity firm, rescued Tata Steel's long products business during the depths of the steel crisis in 2016, saving more than 4,000 jobs. | Greybull Capital, a private equity firm, rescued Tata Steel's long products business during the depths of the steel crisis in 2016, saving more than 4,000 jobs. |
| It then rebranded the company as British Steel and recently returned it to profit. |