Owners of Cardiff-based steelmaker 7 Steel have confirmed £100m investment plans, including £30m for a new hydrogen-ready furnace, marking the first large-scale industrial application of hydrogen in UK steel manufacturing.
Investment Details
The £100m investment also covers plant upgrades, technology improvements, and wider operational development. Czech investment company Sev.en Global Investments acquired the business from Spanish firm Celsa last year. The Cardiff plant, which serves as the firm’s UK headquarters, recycles domestic scrap into low-carbon steel for construction, infrastructure, transport, and energy projects.
Products and Projects
Products such as rebar and mesh have been used in iconic UK buildings and infrastructure, including The Shard, Wembley Stadium, Heathrow Terminal 5 extension, Hinkley Point C nuclear power station, and HS2 rail.
Strategic Timing
The investment arrives at a crucial moment for British steel. The UK Government, which is nationalising the last remaining heavy steelmaking plant in Scunthorpe, has set out plans to build 1.5 million new homes and upgrade infrastructure, both requiring significant steel volumes. Sev.en GI says this policy direction reinforces its case for long-term investment in the sector.
Alan Svoboda, chief executive of Sev.en Global Investments, said: “As the long-term owners of 7 Steel UK, we recognise the strategic importance of a robust independent British steel sector. Steel is a strategic industrial opportunity which requires continuity and a willingness to invest through the cycle. That is exactly how we invest.”
Workforce Commitment
Beyond capital investment, Sev.en GI has committed to the workforce. 7 Steel UK pays 1.5 times the UK median salary and continues to train the next generation of engineers, helping to keep skilled industrial jobs in Cardiff and across the UK. The company employs over 1,600 people across the UK, with 1,138 based in Wales. It has 14 sites, including four fabricator sites in Neath, Newport, Crumlin, and Whiteheads in Newport, supporting over 300 Welsh jobs. The Cardiff site produces more than one million tonnes of steel annually, making it the UK’s third biggest steel producer.
Historical Context
The operation in the Tremorfa area of Cardiff has been owned by major British industrial names such as Guest Keen & Nettlefolds (GKN) before becoming British Steel in 1970. The blast furnace side closed in 1978, and the remaining works went through various owners, with Celsa acquiring it in 2003 before Sev.en GI took over.
