SI 2026/832 - The British Steel Limited Property Transfer Regulations 2026

Status: This is the original version (as it was originally made). This item of legislation is currently only available in its original format. STATUTORY INSTRUMENTS 2026 No. 832 IRON AND STEEL The British Steel Limited Property Transfer Regulations 2026 at 4.08 p.m. on 15th Made - - - - July 2026 at 9.15 a.m. on 16th Laid before Parliament July 2026 Coming into force - - 16th July 2026 The Secretary of State makes the following Regulations in exercise of the powers conferred by sections 15(1) to (3), 16(2), 17, 18, 20(2) and (3), 22(1) and 61(2) of the Steel Industry (Nationalisation) Act 2026(1) (“the 2026 Act”). The Secretary of State considers it necessary to exercise the power in section 15(1) of the 2026 Act in respect of British Steel Limited in the public interest (in accordance with section 2(1) of the 2026 Act(2)). The Secretary of State has considered the costs that the Secretary of State thinks are likely to be associated with the exercise of the power (in accordance with section 15(4) of the 2026 Act). Citation, commencement and extent 1.—(1) These Regulations may be cited as the British Steel Limited Property Transfer Regulations 2026. (2) They come into force on 16th July 2026. (3) They extend to England and Wales, Scotland and Northern Ireland. Interpretation 2.—(1) In these Regulations— “2026 Act” means the Steel Industry (Nationalisation) Act 2026; “ACo” means British Steel Limited, company registered number 12303256; “BCo” means SPV 2026 Limited, company registered number 17312541; “excluded property, rights and liabilities” has the meaning given in regulation 3(3); (1) 2026 c. 27. (2) Section 2(2) of the Steel Industry (Nationalisation) Act 2006 makes provision about what the public interest includes (but is not limited to).Document Generated: 2026-07-16 Status: This is the original version (as it was originally made). This item of legislation is currently only available in its original format. “transfer” means the transfer provided for by regulation 3(1); “transfer date” has the meaning given in regulation 3(2); “transferred property, rights and liabilities” means the property, rights and liabilities transferred under regulation 3(1). (2) In these Regulations any reference (however expressed) to property, rights or liabilities includes where applicable any of the kinds of property, rights or liabilities (as the case may be) set out in section 17(1) of the 2026 Act. The transfer 3.—(1) On the transfer date all the property, rights and liabilities of ACo are transferred to BCo apart from the property, rights or liabilities excluded from the transfer. (2) The transfer date is the beginning of 16th July 2026. (3) The property, rights or liabilities excluded from the transfer are described in the Schedule (“excluded property, rights and liabilities”). Termination rights 4. These Regulations are to be disregarded in determining whether a default event provision applies (see section 22(1)(a) of the 2026 Act(3)). Continuity 5.—(1) On and after the transfer date BCo is to be treated for any purpose connected with the transfer as the same person as ACo, except in relation to the excluded property, rights and liabilities. (2) Agreements made or other things done by or in relation to ACo before the transfer date are, in relation to the transferred property, rights and liabilities, to be treated as made or done by or in relation to BCo. (3) Anything (including legal proceedings) that relates to the transferred property, rights and liabilities that was in the process of being done by or in relation to ACo immediately before the transfer date may be continued by BCo. (4) As from the transfer date any reference (express or implied) in an instrument or document to ACo is to be treated as a reference to BCo if the reference relates to, or is connected with, the transferred property, rights and liabilities. (5) Nothing in this regulation has the effect, directly or indirectly, of transferring excluded property, rights and liabilities. Provision of information and assistance 6. ACo must provide BCo with such information and assistance as is reasonably requested by BCo in writing— (a) in relation to or in connection with the transferred property, rights and liabilities, or (b) for any other purpose in relation to or in connection with the transfer or any other provision of these Regulations. (3) For the definition of “default event provision” see section 22(2) of the 2026 Act. For how the reference in section 22(1)(a) to property transfer regulations is to be read for the purposes of the section, see subsections (5) and (6). 2Document Generated: 2026-07-16 Status: This is the original version (as it was originally made). This item of legislation is currently only available in its original format. Company names 7.—(1) On and after the transfer date— (a) ACo ceases to be called “British Steel Limited” and the new name specified for ACo is “2026 Transferor Company Limited”; (b) BCo ceases to be called “SPV 2026 Limited” and the new name specified for BCo is “British Steel Limited”. (2) Nothing in this regulation affects the interpretation of these Regulations. Chris McDonald Parliamentary Under-Secretary of State At 4.08 p.m. on 15th July 2026 Department for Business and Trade 3Document Generated: 2026-07-16 Status: This is the original version (as it was originally made). This item of legislation is currently only available in its original format. SCHEDULE Regulation 3(3) The excluded property, rights and liabilities Liabilities, etc.: liabilities to group undertakings, etc. 1. Any liability of ACo to an undertaking which is a group undertaking in relation to ACo. 2. Any liability of ACo— (a) to any person which is not a group undertaking in relation to ACo, but (b) where the liability has at any previous time been a liability of ACo to an undertaking which was at that time a group undertaking in relation to ACo. 3. Any liability of ACo to any person under or in connection with— (a) any guarantee, indemnity or surety of, or assumption of joint liability for, a liability described in paragraph 1 or 2, or (b) an arrangement of a similar nature to those described in sub-paragraph (a). 4. Any right of ACo which relates to a liability described in any of paragraphs 1 to 3. 5.—(1) In paragraphs 1 and 2 “group undertaking” has the meaning given by section 1161(5) of the Companies Act 2006(4). (2) For the purposes of determining whether a liability falls within paragraph 2, it does not matter if there has been any change to the liability between the transfer date and the previous time mentioned in paragraph 2 (whether those changes are changes in amount, changes to the contract governing the liability, changes to the parties or otherwise). Other liabilities, etc.: unsecured debts, etc. 6. Any liability of ACo to any person where the liability relates to moneys borrowed or committed under a contract for lending or other debt instrument. 7. Any liability of ACo to any person in relation to— (a) any guarantee, indemnity or surety of, or assumption of joint liability for, a liability described in paragraph 6, or (b) an arrangement of a similar nature to those described in sub-paragraph (a). 8. Any right of ACo which relates to a liability described in paragraph 6 or 7. 9. Paragraphs 6 to 8 do not apply to any liabilities of ACo which— (a) are secured by any mortgage, charge, pledge, lien or other security interest over the assets of ACo, or (b) are owed to the Secretary of State by virtue of the Steel Industry (Special Measures) Act 2025(5). Employee contracts, etc. 10. Rights and liabilities of ACo under or in connection with any contract of employment with any individual employed by ACo to whom regulation 4(1) of the Transfer of Undertakings (4) 2006 c. 46. (5) 2025 c. 13. 4Document Generated: 2026-07-16 Status: This is the original version (as it was originally made). This item of legislation is currently only available in its original format. (Protection of Employment) Regulations 2006(6) applies (as modified by regulation 3 of the Modification of the Law (British Steel Limited Property Transfer) Regulations 2026(7)). EXPLANATORY NOTE (This note is not part of these Regulations) These Regulations are made under the Steel Industry (Nationalisation) Act 2026 (c. 27) (“the 2026 Act”). They transfer the property, rights and liabilities of British Steel Limited, with certain exceptions, to SPV 2026 Limited (a company wholly owned by the Secretary of State). British Steel Limited is referred to in these Regulations as “ACo” and SPV 2026 Limited is referred to as “BCo”. They should be read together with the Modification of the Law (British Steel Limited Property Transfer) Regulations 2026 (S.I. 2026/833). Regulation 2 contains definitions. Regulation 3 provides for the transfer itself (with the property, rights and liabilities excluded from the transfer being defined in the Schedule). Regulation 4 makes the provision permitted by section 22 of the 2026 Act, which prevents, for example, termination rights being exercised by third parties linked to the transfer. Regulation 5 makes provision about continuity, reflecting the fact that the transfer is made by operation of law. For example, it ensures that agreements between ACo and third parties remain legally valid following the transfer of those agreements to BCo. Regulation 6 requires ACo to provide BCo with information and assistance reasonably requested by BCo. Regulation 7 renames BCo “British Steel Limited” and makes a consequential change to ACo’s name. The Schedule defines the property, rights and liabilities excluded from the transfer. These include but are not limited to any liabilities to or in relation to group undertakings of ACo (together with any rights of ACo relating to them). Certain unsecured liabilities owed to third parties are also excluded (together with any rights of ACo relating to them). The Schedule also excludes from the transfer, in paragraph 10, rights and liabilities in relation to ACo’s employee contracts, as employees will transfer to BCo under the Transfer of Undertakings (Protection of Employment) Regulations 2006 (S.I. 2006/246), as modified by regulation 3 of the Modification of the Law (British Steel Limited Property Transfer) Regulations 2026 (S.I. 2026/833). A full impact assessment of the effect that this instrument will have on the costs of business, the voluntary sector and the public sector is available and is published with the Explanatory Memorandum alongside this instrument. A physical copy may be obtained from the Department for Business and Trade, Old Admiralty Building, London SW1A 2DY. (6) S.I. 2006/246; as amended by S.I. 2014/16. (7) S.I. 2026/833. 5