Summary
The UK government and Ineos have announced a joint investment of £150 million to support the Grangemouth industrial complex in Scotland, which is the UK's last ethylene plant. This funding is aimed at protecting 500 jobs and ensuring the site's continued operation. The investment comes as part of efforts to help the UK's petrochemical industry amid high energy costs and recent job losses in the sector.
Key Facts
- The UK government will invest £120 million, and Ineos will invest £30 million in Grangemouth.
- The Grangemouth site employs about 500 people and produces ethylene, used in making plastics for industries like automotive and aerospace.
- The plant stopped processing crude oil in April, turning into an import terminal, which resulted in 400 job losses.
- Sir Jim Ratcliffe, Ineos chairman, said the investment will protect jobs and enhance the site's efficiency and competitiveness.
- Rising energy costs have caused closures and risks to the UK petrochemical industry, affecting ethylene production capacity.
- The UK and Scottish governments announced plans to establish a green energy hub at Grangemouth to support a transition to low-carbon industries.
- Unions criticized the UK government for not delivering promised £200 million investments from the National Wealth Fund.
- There is involvement from Natwest bank, which focuses on regional growth, although specific details are not clear.
