Ed Miliband reportedly signed an agreement promising "close co-operation" with China on key areas of infrastructure just a month before the Government took control of Chinese-owned British Steel. Emergency legislation giving the Government the power to instruct British Steel to keep the plant open passed both the Commons and Lords in a single day unopposed on Saturday after recalling Parliament from its Easter recess.

Now The Times reports the Energy Secretary signed an agreement with Beijing for co-operation in sectors including battery energy storage and offshore wind power during a visit to the country in March. Mr Miliband reportedly heralded how “two-way trade and investment can bring mutually beneficial results”. The newspaper reports that he penned a memorandum understanding on a “clean energy partnership” which outlined co-operation in infastructure areas such as power grid, battery storage and offshore wind power.

Chancellor Rachel Reeves visited China in January and said she wanted a long-term relationship with Beijing.

Trade Minister Douglas Alexander is reportedly currently in the country for talks with Chinese counterparts, while last week it emerged the head of the Armed Forces, Admiral Sir Tony Radakin, had visited Beijing.

Ministers took he unusual step of recalling Parliament from its Easter recess to sit on Saturday after negotiations with British Steel’s Chinese owners, Jingye, appeared to break down.

Business Secretary Jonathan Reynolds accused the company of failing to negotiate “in good faith” after it decided to stop buying enough raw materials to keep the blast furnaces at Scunthorpe going.

The Steel Industry (Special Measures) Bill published on Saturday gives the Government the power to instruct steel companies in England to keep facilities open, with criminal penalties for executives if they fail to comply.

Ministers said these measures were necessary to keep the Scunthorpe blast furnaces open and protect both the UK’s primary steelmaking capacity and the 3,500 jobs involved.

The Conservatives said the Government acted too slowly, with shadow leader of the House Alex Burghart claiming ministers had made “a total pig’s breakfast of this whole arrangement”.

On Wednesday, Downing Street said it is “confident” it will secure the supply of materials needed to keep the blast furnaces going at the Scunthorpe plant.