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UK steel industry given digital roadmap to reach net zero

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August 20, 2025
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UK steel industry given digital roadmap to reach net zero

A new study has set out a strategic digital roadmap to fast-track the UK steel industry’s transition to net zero, warning that overcoming skills shortages, regulatory hurdles and investment uncertainty is vital if the sector is to meet its climate goals.

The research, developed by academics at the University of Warwick and supported by the InterAct programme, identifies 12 critical barriers to the adoption of Industrial Digital Technologies (IDTs). These include everything from regulatory complexity to a lack of skilled workers and funding pressures.

Using a seven-layer framework, the study maps out how these challenges interconnect and ranks which need to be prioritised by policymakers and industry leaders. The aim is to guide the steel industry — which comprises more than 1,100 companies and contributes £2.3 billion to the UK economy — towards more resource-efficient and sustainable production.

While steel is endlessly recyclable, its production is highly energy-intensive, accounting for a significant portion of global CO₂ emissions. That makes decarbonisation a pressing priority, both nationally and internationally.

“Our research provides targeted, actionable recommendations that empower decision-makers to focus their efforts where they’ll have the greatest impact,” said Dr Taofeeq Ibn-Mohammed, one of the study’s authors. “A strategic blend of policy reform, technological innovation, organisational change and smart economic planning is key to overcoming these barriers and building a greener, more competitive steel industry.”

The findings have already been presented at AISTech, the Iron and Steel Technology Conference in the US, where they were welcomed by global industry stakeholders. A practitioner’s report is now in preparation to provide practical guidance for UK companies.

Dr Aitana Uclés Fuensanta, the project’s lead researcher, said: “This is the first empirical analysis of its kind to map the causal relationships between barriers to IDT adoption. Our insights will enable stakeholders to prioritise action, share best practices, and drive meaningful progress toward net zero.”

The study is part of the wider InterAct programme, which is funded through the government’s Made Smarter Innovation initiative. InterAct brings together academics, manufacturers, policymakers and digital technology providers to examine how new technologies can support sustainable change in UK industry.

Professor Jill MacBryde, co-director of InterAct at the University of Strathclyde, said: “The work undertaken by the University of Warwick team represents a crucial step towards a more sustainable future for the steel sector. By focusing on the human, regulatory and operational issues as well as the technology itself, this roadmap shows a clear path forward.”

The methodologies developed in the research are also being applied to other energy-intensive industries such as ceramics and glass, helping to reinforce the UK’s role as a leader in industrial sustainability innovation.

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