THOUSANDS of steelworkers and their families are breathing a sigh of relief after SSI confirmed it will be able to pay monthly salaries today as planned.  

"Further to a number of enquiries, I am pleased to report that this month’s pay roll is being processed today and salaries will be paid into individual bank accounts during the course of today," said SSI spokesman John Baker.  

The Thailand-based company has been locked in talks with the Treasury and HMRC over a proposed tax rebate that would free up about £4m enabling the cash-strapped steelmaker to pay its 1,900 Redcar-based staff.

Responding to the news that salaries are to be paid to SSI workers today, Paul Warren, Community Union rep and chair of the multi-union said: “We are pleased to see the pressure we’ve been putting on SSI and the government is paying off. This is a small but very important step and will ease the worries of SSI workers. We must now keep up that pressure and ensure that a deal to secure the future of the Redcar steelworks is reached.

"Our focus will shift to securing the materials to maintain the integrity of the coke ovens. Steel making here is still at a minute to midnight but the fire is still alight. Our plea to David Cameron remains - save our steel."

It is now a week since SSI called a halt to steelmaking at the loss-making site which has prompted fears it will be mothballed for the second time in five years. South Bank Coke Ovens has been closed, with the loss of 150 jobs, hundreds of contractors have been laid off, and the site's remaining coke ovens are running out of fuel.