Business Secretary Jonathan Reynolds says the Conservative leader is wrong to say she had negotiated a modernisation plan with British Steel for electric arc furnaces at Teesside and Scunthorpe.
Ms Badenoch posted on X on Friday saying as business secretary in the last Conservative government she had negotiated the proposal, but it was "bungled" by Labour.
After intervening, Ms Badenoch says: "Labour cannot negotiate.
We were negotiating a modernisation deal that would have had limited job losses, just like we had in Port Talbot”.
Report by Blairm.
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