British Steel collapses, threatening thousands of jobs

British Steel collapses, threatening thousands of jobs
FILE - This Oct. 20, 2015 file photo shows the Scunthorpe steel plant, now owned by British Steel, in Scunthorpe, England. Britain’s government pledged Tuesday May 21, 2019 to do its utmost to support British Steel amid reports the company is facing bankruptcy. (Anna Gowthorpe/PA via AP, File)

LONDON (AP) — Britain’s Insolvency Service says British Steel has been ordered into compulsory liquidation after talks with the government failed to secure a bailout.

The move threatens some 5,000 workers employed by the company, with another 20,000 jobs in the supply chain.

The official receiver says in a statement Wednesday that the immediate priority is the safe operation of the Scunthorpe plant in northeast Britain. 

The official receiver says the company “is continuing to trade and supply its customers while I consider options for the business.”