AN EXTRA £22 million in UK Government funding has been announced to support workers and businesses affected by Tata Steel’s transition at Port Talbot, taking the total community support package to £122 million.

The funding uplift means the Tata Steel / Port Talbot Transition Board fund now stands at £102 million from the UK Government, alongside a further £20 million contributed by Tata Steel. Ministers say the additional money could help support up to 1,000 more jobs across the local economy.

Since July 2024, the Transition Board has already allocated £80 million to the Port Talbot area, funding thousands of training courses for individuals and helping nearly 200 businesses to start, expand, invest in new equipment and move into new markets.

The UK Government said the rapid deployment of the funding has helped prevent an increase in unemployment benefit claims during Tata Steel’s shift towards greener steelmaking.

Following strong demand for support, a further £22 million has now been allocated, extending the availability of Supply Chain, Business Start-Up, Resilience and Growth funding into 2026. The announcement was made on Thursday (Dec 18).

Secretary of State for Wales Jo Stevens said the government was determined to continue backing the community through the transition.

She said: “This government has acted decisively to support workers and businesses in Port Talbot, allocating the entire £80 million in initial funding quickly into the community to ensure that whoever needed support could access it.

“Grants have been delivered swiftly to meet the needs of local people, businesses and communities, and there is evidence that our approach is working. But we want to make sure that as many people as possible have continued access to support with the extra £22 million for local businesses into the new year.

“We said we would back workers and businesses affected by the transition at Port Talbot and are delivering on that promise.

“It remains a difficult time for Tata Steel workers, their families and the community, but we will continue to support them.”

Ms Stevens announced the funding increase during a visit to Port Talbot-based engineering firm JES Group, which has received Transition Board support. She also toured the JES Academy, which is providing training for dozens of former and current steelworkers.

Justin Johnson, Director of JES Group and The Skills Academy, welcomed the announcement.

He said: “I want to express our gratitude to the UK Government for establishing the original Transition Fund and for now having the foresight to increase the level of support at such a critical moment.

“This uplift will make a significant difference to supply-chain companies like ours. As Tata Steel transitions to electric arc furnace steelmaking, businesses like JES must transition alongside it, while also diversifying into new sectors to reduce reliance on what was once our core work.

“We believe the history of steelmaking in Port Talbot is far from over and that a brighter, greener future lies ahead, but while that future takes shape, diversification is essential.

“The journey has not been easy, and it is far from over, but this additional support creates real opportunities for stability and growth. I also want to recognise Business Wales and Neath Port Talbot Council’s economic development team for their guidance and practical assistance.”

The Transition Board was established to protect jobs and the local economy during Tata Steel’s move to greener steel production. Information on applying for support is available via the Tata Steel Transition Information Hub.

The UK Government has also committed £2.5 billion to rebuild and decarbonise the UK steel industry, with a national Steel Strategy due to be published in early 2026. This includes £500 million already allocated to Tata Steel for the electric arc furnace now under construction at Port Talbot.