# The British Steel Limited Property Transfer Regulations 2026, Note: 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.

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Source: https://www.legislation.gov.uk/uksi/2026/832/note (the official version)
Page: https://openlegislation.uk/british-steel-limited-property-transfer-regulations-2026/note
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.