Industrial Firms Owned by Billionaire Sir Jim Ratcliffe Obtained As Much As £70m in UK Government Support In the Last Four-Year Period
Prior to the recent £50m state rescue package for its Grangemouth facility, industrial firms under the ownership of tycoon Jim Ratcliffe had already been granted up to £70m in British government support during the previous four-year period.
Recent Disclosures and Financial Support
Based on official data published this week, public funding to the Ineos group in the last year alone was between £16m and £38m. From August 2022 onwards, the conglomerate has obtained between £28m and £70m.
The government stepped in on Tuesday to grant Ineos with £50m to support its Scottish ethylene plant, concerned that otherwise the UK would lose its sole facility producing ethylene—a vital raw material for plastics. Officials additionally supported a £75m credit guarantee, while Ineos committed to invest £30m of its own funds.
Refinery Shutdown and Broader Context
This support comes following Ineos shut down the adjacent oil refinery in late 2024, costing 400 jobs—a move described as a huge blow to the area and a challenge for the government.
Ratcliffe, who is worth $14.5bn, is understood to have asked for government assistance in October. The request coincides with the expansive Ineos group, controlled by the 73-year-old, has faced considerable economic strain, in part due to sharply increased energy costs following Russia's full-scale invasion of Ukraine.
In a sign of growing unease over its ability to manage debt, the credit rating agency downgraded Ineos's credit rating in September. Ratcliffe has also been required to invest significant funds into his off-road vehicle venture and efforts to revitalise Manchester United, in which he holds a partial ownership.
Form of Support and Company Statements
Most the previous state aid came in the form of tax relief in return for “commitments to curb consumption and carbon dioxide emissions.” The value of these relief schemes for Ineos's plants in Grangemouth and Hull are reported as ranges rather than precise figures.
An Ineos spokesperson stated the aid did not constitute “special treatment” for the company, but was “awarded against strict criteria, and open to any UK business that meets the requirements.”
Although Ratcliffe publicly welcomed the £50m support in an official statement, Ineos also released more critical comments. In these, the billionaire strongly criticised government policy, including carbon taxes paid by industrial users.
“The answer is NOT decarbonisation by deindustrialisation,” he stated. “Without a strong manufacturing base, the economy will continue to decline. High energy costs and burdensome carbon levies are driving industry out of the UK at an alarming rate.”
In further comments, Ratcliffe described carbon taxes as “the most idiotic tax in the world,” contending they put UK plants at a disadvantage against international competitors. It is noted that most chemicals and plastics are not covered from the UK's planned carbon import tax.
Investment and Sustainability Claims
The Ineos spokesperson added: “Ineos has invested over £400m at Grangemouth in the last five years to maintain its status as one of the most productive chemical plants in Europe and to protect skilled jobs. The UK chemicals sector has had a very difficult year, yet society depends on this industry every day. Should we fail to manufacture these essential materials in the UK, they are brought in from overseas, often from more polluting operations abroad.”
A senior Ineos executive, head of sustainability for the company's Olefins & Polymers division, indicated the new funding would be used to improve energy efficiency, cut carbon emissions, and boost plant performance.
He noted the site, which uses an processing unit utilising North Sea gas and US-sourced liquefied petroleum gas, had been under “extreme pressure” from rocketing energy costs and the UK's carbon taxes.
It has also been reported that Ineos has in the past obtained significant tax breaks from the EU, valued at hundreds of millions of euros—notably while Ratcliffe was a prominent backer of the campaign for the UK to leave the EU.
