A new multi-million-pound grant fund has been launched by the UK Government to help steelworkers and their families in Port Talbot establish their own businesses. The initiative, part of a
£13 million allocation from the Tata Steel / Port Talbot Transition Board, aims to support economic diversification and local growth following the closure of the blast furnaces.
Comprehensive Support for Workers and Businesses
Welsh Secretary Jo Stevens announced the fund, which offers non-repayable grants of up to £10,000 to affected workers, their families, and local businesses. The funding is part of a broader £26.5 million commitment made over four months by the UK Government, with £80 million set aside in the Autumn Budget to fully support the Transition Board's efforts.
In addition to the start-up grants, the latest £13 million allocation includes two other support schemes to assist local businesses and the Tata Steel supply chain. Grants ranging from £2,500 to £250,000 will be available, tailored to the specific needs of each recipient.
Three Key Components of the Fund
Business Start-Up Fund:
This fund provides grants of up to £10,000 to help former Tata Steel workers, their immediate families, and supply chain members establish new businesses. The fund supports ventures across various sectors, including plumbing, electrical services, and technology.
Business Growth Fund:
Designed to support established local businesses aiming to expand their economic impact, this fund offers grants between £25,001 and £250,000.
Business Resilience Fund:
Targeted at businesses affected by the Tata Steel transition, this fund helps companies diversify into new markets, create jobs, and explore opportunities in emerging sectors like low-carbon energy. Grants range from £2,500 to £25,000 and are available to a variety of businesses, from small local shops to larger construction firms.
Supporting Economic Transition in Port Talbot
The announcement follows a previous £13.5 million allocation in August, which aimed to help supply chain businesses find new markets and provide retraining opportunities for affected workers. Together, these measures form a comprehensive strategy to support the Port Talbot community through economic transition.
Welsh Secretary Jo Stevens said:
“As a government we are determined the Transition Board delivers for the steelworkers of Port Talbot, for the region’s businesses and for the community.
This remains a really difficult time for workers in Port Talbot and their families. Many of them will have aspirations to set up their own businesses or become self employed and the £13m released today will provide vital backing for them to make their plans a reality.
We said we would back workers and businesses affected by the transition at Port Talbot and we are doing so with more than £26m announced since July.”
Welsh Government Cabinet Secretary for Economy, Energy and Planning, Rebecca Evans said:
“We continue to work with the UK Government and local partners to ensure that our targeted support has the broadest and deepest positive impact on those affected by the transition to an electric arc furnace in Port Talbot.
Speaking to many across the local community, I know what a difference extending available funding to immediate family will make. This is part of our commitment to doing everything within our power to support businesses, households and communities to bounce back and ensure that Port Talbot and the surrounding area continues its proud history as a vital cog in the Welsh economy”.
Neath Port Talbot Council Leader, Cllr Steve Hunt said: “I keenly welcome the announcement of these funding packages to support both start-ups and existing businesses across our community. The steelworks have been a lynchpin for our economy for over a century and so changes on this scale impact not only directly-affected workers at Tata Steel, but many other closely connected companies.
Steel will remain very important to Port Talbot moving forwards, but it is also critical that as a Transition Board we enable enterprise across a range of sectors to respond to current circumstances and to opportunities such as the Celtic Freeport”.
Collaboration for a Stronger Future
The UK Government has committed to working closely with the Welsh Government, unions, and other local partners to deliver effective solutions for workers and the broader community. The establishment of the £80 million Transition Board fund underscores this commitment to supporting Port Talbot's economic transformation. Photo by Neath Port Talbot : Steel Works by Lewis Clarke, Wikimedia commons.