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Nearly 500 jobs are due to be cut by Tata Steel at its plants in Scunthorpe, Workington and Teesside, the company has confirmed.

The planned cuts have been blamed on prolonged weak demand in the construction industry.

About 340 jobs could be affected in Scunthorpe, 90 in Workington and 40 in Teesside.

The company said the cuts would mainly affect management and administrative roles.

Chief executive of Tata Steel’s European operations, Karl Koehler said: “European steel demand this year is expected to be only two-thirds of pre-crisis levels after falls in the past two years.

“On top of the challenging economic conditions, rules covering energy and the environment in Europe and the UK threaten to impose huge additional costs on the steel industry.”

He said they would work with staff and unions during the restructuring to support employees.

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Energy prices blamed for plant closure

A chemicals factory which has supplied industries such as glass and soap-making for 140 years is to close because of “massive” energy bills, costing 220 jobs.
Tata Chemicals Europe said it was shutting its soda ash factory at Winnington in Northwich, Cheshire, which has produced the chemical since 1874, as it was being squeezed by rising gas prices.

Job losses will be split across Winnington, support services and Tata’s nearby Lostock plant, which will continue making soda ash and sodium bicarbonate – used in baking, detergents and reducing power station emissions.

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