A BURGEONING steel firm is helping build a football club’s new stadium.

British Steel will provide structures for Scunthorpe United’s 12,000-seat venue.

The company says steel for the ground will be rolled at its Teesside Beam Mill, at Lackenby, near Redcar.

British Steel, founded last month from Tata Steel’s former Long Products division, is owned by investor Greybull Capital and employs nearly 900 people across the North-East and York.

Bosses say the football deal is proof of their intent to galvanise the UK steel industry, which has been rocked by plant closures and thousands of job losses after lower selling prices, increased Chinese imports and high energy and business rates.

Peter Swann, Scunthorpe United’s chairman, said British Steel was a much-valued employer but reiterated the agreement was based upon much more than steel industry romanticism.

He added: “We all know how vital the business is to our economy.

“Thousands of our supporters either work at British Steel, have done so in the past or have friends and relatives with close links to the industry, so it is only right we should support an organisation that means so much.

“However, our decision is not based on sentiment alone.

“British Steel has a global reputation for producing the highest quality steel and you can find it in some of the most famous buildings and stadiums in the world.

“We want the best for our club, and that’s what British Steel provides.”

Peter Hogg, British Steel’s commercial director, said parts for the ground will be made in Scunthorpe before being processed at the Beam Mill, adding the firm’s logo will also adorn United’s shirts.

He said: “The new stadium promises to be one of the finest in the Football League and it makes perfect sense we join forces.

“We are a global company but support from the communities we operate in is crucial, so this is a huge show of confidence in us and the quality of steel we produce.”

Greybull paid £1 for Long Products after Indian steelmaker Tata announced the sale of its loss-making British assets.

Upon announcing its deal, the investor, founded by brothers Nathaniel and Marc Meyohas, vowed to provide a £400m package to fund day-to-day work and deliver long-term sustainability for the business, which includes a special profiles factory, in Skinningrove, east Cleveland.

British Steel also took on a Darlington steel finishing site, a York design base and a distribution hub in Blaydon, Tyneside, in its takeover.

Last month, bosses announced a five-year deal with Teesside’s Materials Processing Institute to strengthen research and development on rail and construction goods.