What's the situation at Tata Steel?published at 10:20 British Summer Time 7 July

10:20 BST 7 July

Mark Palmer
BBC Wales

Business Secretary Jonathan Reynolds says resolving the situation with Tata Steel is "a priority" but the "the timescale is not a large one".

The previous Conservative government agreed a £500m rescue package to keep the plant open and shift to greener production methods, with the closure of two blast furnaces and a shift to electric arc production at Port Talbot.

Tata says its losing £1m a day on its blast furnace operation there, and the company closed one of the furnaces last Friday, with the second shutting in September - that will end Port Talbot’s ability to produce liquid iron from ore.

The company will build an electric arc furnace to produce steel by melting scrap metal, with construction set to begin in August 2025.

But as part of that, around 2,800 UK Tata jobs would go, the majority at its south Wales plant.

We’ve been told that Sir Keir Starmer and Welsh First Minister Vaughan Gething spoke about this on Friday.

We’re not hearing anything new from Tata at the moment, but local Labour MP Stephen Kinnock says there are people at the company who “are sensible and pragmatic and want to engage”.

Lora Jones
Business reporter, BBC News

A quick recap on what we heard from Business Secretary Jonathan Reynolds - speaking to Laura Kuenssberg for the first time since getting into office.

On Tata Steel, we heard that the future of the plant in Port Talbot is a "major priority" for the Labour government.

Reynolds said a better deal is achievable to keep the site open and cash would be available as part of wider funding for the steel industry's green transition.

As part of the negotiations with the company, Reynolds added that he was going to make sure job guarantees were part of the talks, although would not commit to a specific number.

On workers' rights, Reynolds said that he wanted to start the process on bolstering these "right away".

Questions marks were raised, however, about the party's plans on fire-and-rehire, where businesses let staff go and then bring them back with fewer protections.

When pushed on whether Labour would be able to achieve big changes on this without opposition, he said it's about the "process" firms go through, although he wants to make progress on workers' rights within his first 100 days in office.

Kuenssberg points out Reform UK got many more votes than the Liberal Democrats on Thursday but ended up with far fewer seats in Parliament. Is that fair?

Davey says the Lib Dems have "long wanted to improve democracy" and that "our politics is broken and we will continue to make that case".

"People will get in who you don't agree with - the same with the first past the post system."

"That is democracy", Davey answers - and concludes by saying he is delighted and proud the Lib Dems have got their best result ever.

Lib Dem leader Sir Ed Davey is up next and Kuenssberg asks him why he thinks his party did so well.

Davey calls it an "amazing result" and he plans to put health and care at the top of the list, and he will fight in Parliament on the issue.

He says Lib Dems have called for an emergency budget for health and care.

Davey adds his party will be a constructive opposition to Labour and will be the voice of carers.

When asked how he will make Labour pay attention, he says he hopes the government will persuade them with their arguments and steal their policies.

Asked if he thinks he has what it takes to lead the Conservative party, Jenrick says it would be "self-indulgent" to talk about that three days out from the election.

He says he wants to "ensure" the party has the right diagnosis about what went wrong.

On the upcoming race for the Tory leadership, Jenrick says he "would support" a longer campaign.

His party needs time to "think very carefully" about what happened, move forward, and hold the new Labour government to account, he says.

Kuenssberg presses Jenrick on who is to blame for the Conservatives being booted out by the electorate.

"I don't think it is about one individual, we are all responsible," Jenrick answers.

"In politics you win and lose as a team."

Jenrick says he believes the Tory government "did not get a good enough diagnosis on just how broken some of our public services were".

"When we said on immigration we would do whatever it takes, we didn't do whatever it takes," he continues.

Following on from Victoria Atkins is ex-immigration minister Robert Jenrick. Kuenssberg asks why the Tories got a kicking at the election.

He says the result was a "devastating defeat" and the worst since 1832.

Jenrick says the government failed to deliver on its promises to the public, including delivering growth, expected service levels in the NHS and secure border.

He adds there is a lot to be proud of, but the party needed to be "painfully honest".

Asked if she plans to run for Tory leadership, Atkins she says this weekend "is not about leadership" but is about listening and reflecting on the message they received from voters at the election.

Pressed again on whether she has leadership intentions, Atkins says: "For anyone at this stage to be talking about their own ambitions goes to what we were talking about at the very beginning... which is politics and the Conservative Party need to be at the forefront of whatever we're talking about."

When a contest is held, she says she hopes the party will unite around a central message.

Laura Kuenssberg asks Atkins what she thinks went wrong for the Conservatives.

Atkins starts by saying: "We know the country is instinctively Conservative - in terms of their values and instincts."

Kuenssberg points out the country "dramatically kicked you out" as she asks what it was that went wrong for the Tories.

Atkins says there was an issue of trust, as well as delivery, integrity and values. She adds the party has lost many good colleagues and voters want the government to deliver.

The support for Labour is "spread very thinly" and her party needs to rebuild, she says.

"It has been 72 hours. We haven't even met yet as a parliamentary party. I imagine we will want to be looking at how we delivered on our policies."

We're about to hear from two MPs who were Conservative ministers until Friday morning.

First up is Victoria Atkins - who was health secretary under Rishi Sunak. She'll be followed by Robert Jenrick.

Lora Jones
Business reporter, BBC News

As a quick reminder, here's a recap of the Tata Steel situation.

The steel giant shut down one of two blast furnaces at its biggest plant under its plans to switch to a greener form of production earlier this week in Port Talbot.

The company is undertaking a restructuring programme to stem "unsustainable" losses of more than £1m a day, and the second blast furnace is due to be shut down in September.

But unions are opposed to the plans, which could lead to the loss of around 2,800 jobs.

It's a huge employer in the local community, and residents have raised concerns about a lack of opportunities in similar industries.

Jonathan Reynolds said this morning he wants to make sure job guarantees are now part of his negotiations with Tata - but, of course, workers face a wait until a newer, greener, furnace can be built on-site, which will offer far fewer jobs.

Unite union general secretary Sharon Graham has given her reaction to Jonathan Reynolds' comments on Tata.

She says Labour coming in, and their intent, "is a good thing" but she intends to "hold their feet to the fire" on this issue.

Her main focus is on jobs, pay and conditions for workers, she says.

But, with investment in Britain there are "never job guarantees attached", she says, and she will be "eagle- eyed" about the detail in the government's negotiations with Tata.

In general, she says, the country will have to "borrow to invest" in British industry.

Turning to the results of the election, Kuenssberg asks Burnham about Labour losing support in some communities.

"I don't think it has overlooked people," Burnham replies - noting that Rochdale returned a Labour MP again following George Galloway's by-election victory earlier this year.

"There is proof we are regaining people's trust," Burnham says.

"It feels already like we are in a new era with a very different, more serious government," Burnham says.

The Greater Manchester mayor finishes by saying he believes there is "less volatility" in politics and "the British people have created a platform for political stability".

Burnham says Greater Manchester is ready to takes its share of the 1.5 billion homes Labour wants to build. He says they have allocated site and emphasises many of them should be council homes.

The mayor is then asked if he is disappointed PM Starmer has not abolished the two child benefit cap.

He says he would ask for it to be kept under review after witnessing "grinding poverty" in Greater Manchester.

Burnham adds a "decisive break" is needed with austerity.

Up next it's Andy Burnham - the Labour mayor of Greater Manchester - who is asked if he is sad not to be around the cabinet table.

"No", he says, adding that he is "excited" by the position he is in and is "looking forward" to working with Starmer and his team.

Laura asks how is he going to make sure the Labour leader listens to him, Burnham says he is "sure he will", as devolution to English city regions is a way to "get the country growing".

He calls on Keir Starmer to "commit early" to England's Northern Powerhouse, which he said would be a "path to growth" and a second Labour term.

In practice, he says, that would involve making a start on a new Liverpool to Manchester railway.

Reform UK leader Nigel Farage says he's coming after Labour - so Kuenssberg asks Reynolds if he and his party have any concerns about the rise of the insurgent party.

Reynolds said he spoke to "good people who voted Reform".

"They now have MPs," he adds. "A party like Reform will now come under scrutiny."

Reynolds finishes by saying Labour would relish the arguments in Parliament and being able to lay out what he says is the "full agenda" of Reform.

Reynolds is asked about what Labour will do about the Gaza war, after it lost support in several seats with large Muslim populations.

He says British politics is "complicated and challenging" and he appreciates why some voters feel strongly about the issue.

He says people want to see progress towards peace and now his government has the chance to deliver that.

On to Labour's promise to expand workers rights, Reynolds is asked when work on that will start.

"Straight away", he says, adding his government is "committed" to doing so, but need to go through a consultation period first.

Kuenssberg then turns to fire-and-rehire - where businesses can fire staff and bring them back under worse conditions.

Reynolds says his party "oppose" the policy.

But, he says, he "recognises" there are occasions where it's needed, but says it's about the "process" you go through.

Next, Kuenssberg asks if Labour will protect jobs at the Tata Steel plant in Port Talbot.

"I am going to make sure job guarantees are part of the deal we are negotiating," Reynolds answers.

Reynolds insists resolving the issues are "a priority" and adds "the timescale is not a large one".

He tells Kuenssberg a better deal is achievable.

Business Secretary Jonathan Reynolds starts by saying Labour has a "clear mandate" to govern.

Asked about potential job losses at the Tata steel plant in Port Talbot, he says it is a "major priority" and he has already spoken to Tata as well as Sir Keir Starmer. He says he will speak to unions next week.

He explains it's about being a partner for investment in the future, and not underwriting loss making businesses.

He adds we have to make sure decarbonisation does not lead to deindustrialisation.