Iron and Steel Corporation of Great Britain
Encyclopedia
The Iron and Steel Corporation of Great Britain was a nationalised industry, set up in 1949 by Clement Attlee
's Labour
government.
The Iron & Steel Act 1949 took effect on 15 February 1951, the Corporation becoming the sole shareholder of 80 of the principal iron and steel companies (reduced from the 107 proposed in the first draft of the Bill). The model differed from previous nationalisations in that it was the share capital of the companies that was acquired, not their undertakings. The reason was that companies in the iron & steel industry had wide-ranging ancillary activities, from which the core business of iron & steel making could not easily be extracted. Firms whose chief activity consisted in the manufacture of motor vehicles were specifically excluded from the scheme. Companies not qualifying for acquisition were to require a license if producing more than 5,000 tons of ore or other products. Some 2,000 iron & steel companies remained in business outside the nationalised sector.
Nationalisation was strongly resisted by the Conservative
opposition. On returning to power, they instructed the Corporation to make no change to the structure of the industry and made plans instead for its return to the private sector.
The Corporation was superseded by the Iron and Steel Holding and Realisation Agency. The Agency succeeded in selling all of the nationalised companies with the exception of the largest, Richard Thomas and Baldwins
. This remained in public ownership and was absorbed into the British Steel Corporation
when the industry was re-nationalised by the government of Harold Wilson
in 1967.
Clement Attlee
Clement Richard Attlee, 1st Earl Attlee, KG, OM, CH, PC, FRS was a British Labour politician who served as the Prime Minister of the United Kingdom from 1945 to 1951, and as the Leader of the Labour Party from 1935 to 1955...
's Labour
Labour Party (UK)
The Labour Party is a centre-left democratic socialist party in the United Kingdom. It surpassed the Liberal Party in general elections during the early 1920s, forming minority governments under Ramsay MacDonald in 1924 and 1929-1931. The party was in a wartime coalition from 1940 to 1945, after...
government.
The Iron & Steel Act 1949 took effect on 15 February 1951, the Corporation becoming the sole shareholder of 80 of the principal iron and steel companies (reduced from the 107 proposed in the first draft of the Bill). The model differed from previous nationalisations in that it was the share capital of the companies that was acquired, not their undertakings. The reason was that companies in the iron & steel industry had wide-ranging ancillary activities, from which the core business of iron & steel making could not easily be extracted. Firms whose chief activity consisted in the manufacture of motor vehicles were specifically excluded from the scheme. Companies not qualifying for acquisition were to require a license if producing more than 5,000 tons of ore or other products. Some 2,000 iron & steel companies remained in business outside the nationalised sector.
Nationalisation was strongly resisted by the Conservative
Conservative Party (UK)
The Conservative Party, formally the Conservative and Unionist Party, is a centre-right political party in the United Kingdom that adheres to the philosophies of conservatism and British unionism. It is the largest political party in the UK, and is currently the largest single party in the House...
opposition. On returning to power, they instructed the Corporation to make no change to the structure of the industry and made plans instead for its return to the private sector.
The Corporation was superseded by the Iron and Steel Holding and Realisation Agency. The Agency succeeded in selling all of the nationalised companies with the exception of the largest, Richard Thomas and Baldwins
Richard Thomas and Baldwins
Richard Thomas and Baldwins Ltd was a major United Kingdom iron, steel and tinplate producer, formed in 1948 by the merger of Richard Thomas & Co Ltd with Baldwins Ltd. It was absorbed into British Steel in 1967...
. This remained in public ownership and was absorbed into the British Steel Corporation
British Steel
British Steel was a major British steel producer. It originated as a nationalised industry, the British Steel Corporation , formed in 1967. This was converted to a public limited company, British Steel PLC, and privatised in 1988. It was once a constituent of the FTSE 100 Index...
when the industry was re-nationalised by the government of Harold Wilson
Harold Wilson
James Harold Wilson, Baron Wilson of Rievaulx, KG, OBE, FRS, FSS, PC was a British Labour Member of Parliament, Leader of the Labour Party. He was twice Prime Minister of the United Kingdom during the 1960s and 1970s, winning four general elections, including a minority government after the...
in 1967.