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Tata heads rail supply contract

Network Rail has signed a multimillion-pound deal with three steel manufacturers to supply rail for the next five years under its plans to renew thousands of miles of railway.

Most of the contract will see Tata Steel's Scunthorpe plant supply around 140,000 tonnes of rail a year.

Patrick Butcher, Network Rail's group finance director, said: "We are renewing and enhancing more and more of Britain's railway over the next five years and it's crucial that we have a trusted and secure supply chain to help us achieve that safely and efficiently."

The deal will account for around 5% of the annual steel output from the Scunthorpe site.

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