Britain’s second-largest steel producer is on the brink of collapse putting thousands of jobs at risk, Sky News reported on Monday evening.
Unite union said it would be speaking to Business Secretary Greg Clark first thing on Tuesday and urged British Steel owner Greybull to find a solution.
A spokesman said: “We would urge Greybull to reach a deal with the Government. Thousands of jobs depend on the outcome.
“And we will be speaking with the Government first thing in the morning.”
British Steel said it currently had no comment in response to the Sky News story.
Last week it announced it had the backing of its key stakeholders and that operations would continue as normal.
The company had asked for a package of support to tackle Brexit-related issues and has been holding talks with the Government, raising fears for the future of the company, which employs more than 4,000 workers, mainly in Scunthorpe.
It said on Thursday: “We are pleased to confirm that we have the required liquidity while we work towards a permanent solution.”