Why the British operations remain a drag on Tata Steel's performance

Analysts believe that the challenges on account of the UK are not going away in hurry

Tata Steel has a very British problem. The performance of Europe dragged the steel major’s October-December (Q3FY23) performance with the UK business accounting for a major part of the operating loss; on the bottom line, the overhang of the British Steel Pension Scheme (BSPS) showed. And a nearly three-year discussion with the UK government on a support package for a green transition resulted in an offer that fell short of the ask.

The impact of Russia’s war on Ukraine and its fallout on global energy prices, especially in Europe, was not lost on anyone. As the market slowed and prices