It could help. Cyano
is particularly fond of iron, it also makes green algae color up and certain species of macroalgae are rich in iron suggesting they require it for strong growth. hair algae, ulva and other fleshy or stringy green algae like members of the Enteromorpha family use it. It wouldn't be iron alone, nutrients like nitrates and phosphates would still have to be present, but it could help fuel a bloom of certain types of algae that are usually considered nuisances.
But what you are describing doesnt seem like much of a problem like they said^, I just felt like typing.