LONDON: India’s Tata Steel said it could cut 720 more jobs in Britain, blaming high electricity costs.

The reductions will come mainly at its plant in Rotherham in northern England, Tata Steel said, adding that it would work with trade unions and employees to minimize compulsory redundancies.

The group said in a statement it had “identified 720 positions which will potentially become redundant.”

Karl Koehler, CEO of Tata Steel’s European operations said he realized the news would be “distressing” but emphasized that the plant would continue to employ around 1,500 people.

“We are disadvantaged by the UK’s cripplingly high electricity costs,” Koehler said.

Tata Steel announced 900 job cuts and the closure of 12 plants in 2012.

Last year it said it would eliminate an additional 500 jobs, blaming lower demand.

The British steel sector employs around 20,000 people.