Government appoints former Costain chief Alan Lovell as British Steel chair

The Government has appointed former Costain chief executive Alan Lovell as Chair of British Steel, with a remit to help stabilise and transform the publicly owned company.

Alan Lovell’s latest appointment is not a conventional change at the top.

The Government has brought in a business leader with experience of corporate turnarounds to chair British Steel at a critical point in the company’s future.

Lovell took up the role on Monday 14 September and will lead the board as it works with British Steel’s executive team and the Government on the company’s long-term direction.

In brief:

• The Government has appointed Alan Lovell as Chair of British Steel.
• His remit includes helping to stabilise and transform the company and support its long-term future.
• Lovell previously served as finance director and chief executive of Costain during its financial recovery in the 1990s.

Alan Lovell brings Costain turnaround experience to British Steel

The Government said Lovell would lead the British Steel board in stabilising and transforming the business while supporting the delivery of its strategic priorities.

His appointment follows government intervention to secure the steelmaker’s future and bring it into public ownership.

That gives the role significance beyond an ordinary boardroom appointment. British Steel supplies products used across construction and infrastructure, while Lovell has been asked to help shape a sustainable future for the company, its employees, customers and suppliers.

Business Secretary Jonathan Reynolds said: “Alan is bringing a wealth of experience to British Steel at a crucial time for the business.

“He understands what it takes to lead companies through major change, and I know he will work closely with the workforce, the Board and local communities as British Steel enters its next chapter.”

Lovell’s earlier Costain record is central to the turnaround reputation he brings to the role.

He joined Costain as finance director before becoming chief executive in 1995, at a time when the construction group was facing severe financial pressure.

According to Construction Enquirer, Lovell eliminated net debt from a peak of £450 million during his time at Costain and returned five of the company’s six divisions to above-budget profitability.

Those results have continued to shape how his subsequent appointments are viewed, particularly when organisations are undergoing restructuring or financial change.

Lovell later served as a non-executive director of Carillion and chaired its restructuring committee after joining the board in November 2017. That intervention did not prevent the contractor’s collapse, which followed around ten weeks later when Carillion entered compulsory liquidation in January 2018.

In 2019, he was appointed chair of Interserve Group following its pre-pack administration. He subsequently oversaw changes that included the sale of its facilities management business to Mitie and RMD Kwikform to Altrad. The remaining construction operation was separated and relaunched as Tilbury Douglas.

The Government said Lovell’s wider executive and non-executive career spans infrastructure, construction, energy and financial services. He has served as chief executive of six businesses, including Costain, Infinis and Tamar Energy, and has held senior positions with organisations including SIG, Lloyd’s of London and the Consumer Council for Water.

He currently chairs the Environment Agency, a position he has held since September 2022. He will continue in that role until his extended term ends in December 2026.

Lovell said: “I am proud to have been appointed into this role at such a pivotal time for the company. The world-class steel we produce is vital to Britain’s defence, infrastructure and buildings, and is a cornerstone of the UK economy.”

He added: “Together with my fellow board members, I am looking to the future with great optimism.

“We are focused on building a sustainable business for our dedicated employees, valued customers and suppliers, and the tens of thousands of people in our supply chains. And with the resolute support of the UK Government, and the highly skilled team at British Steel, we will deliver the world-class steel Britain needs now and for decades to come.”

For the highways and wider infrastructure sectors, the appointment matters because the future of domestic steelmaking reaches directly into major-project supply chains. The Government has presented British Steel as important not only to the company’s workforce and local communities, but to construction, infrastructure and defence.

Lovell’s appointment does not guarantee the outcome of that work. His experience at Costain, Carillion and Interserve also demonstrates that turnaround roles begin from very different commercial positions and do not always end in the same way.

What is confirmed is the nature of his new brief: to lead British Steel’s board through a period of stabilisation and transformation while the Government seeks to secure a sustainable long-term future for the business.

Further appointments to the British Steel board are expected to be announced.