🔗 Share this article Chemical Companies Owned by Tycoon Jim Ratcliffe Obtained As Much As £70m in British Government Support In the Past Four Years Prior to the recent £50m government bailout for its Grangemouth facility, chemical companies under the ownership of tycoon Sir Jim Ratcliffe were already awarded up to £70m in British government support during the previous four-year period. Recent Disclosures and Bailout Package Based on official data released recently, state aid to Ratcliffe's chemical empire in the most recent year ranged from £16m and £38m. From August 2022 onwards, the company has received between £28m and £70m. The government stepped in this week to grant Ineos with £50m to support its Scottish ethylene plant, fearing that otherwise the UK would cease to have its last remaining facility producing ethylene—a critical raw material for plastics. The government also backed a £75m credit guarantee, while Ineos committed to invest £30m of its own funds. Refinery Shutdown and Broader Context This intervention arrives after Ineos shut down the neighbouring oil refinery in late 2024, resulting in the loss of 400 jobs—a move described as a huge blow to the area and a challenge for the government. The billionaire, with an estimated net worth of $14.5bn, is understood to have asked for government assistance in October. This appeal coincides with the expansive Ineos group, under the control of the 73-year-old, has faced considerable economic strain, in part due to sharply increased energy costs in the wake of Russia's full-scale invasion of Ukraine. Reflecting 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 substantial resources into his off-road vehicle venture and efforts to revitalise Manchester United, in which he holds a partial ownership. Form of Support and Official Responses Most the earlier government support came in the form of tax breaks in exchange for “commitments to reduce energy use and carbon dioxide emissions.” Figures for these relief schemes for Ineos's sites in Grangemouth and Hull are reported as ranges rather than precise figures. An Ineos representative said the aid did not constitute “special treatment” for the company, but was “granted based on strict criteria, and open to any UK business that meets the requirements.” Although Ratcliffe publicly welcomed the £50m support in an announcement, Ineos also released sharper remarks. In these, the billionaire strongly criticised government policy, specifically carbon taxes levied on industrial users. “The solution is not decarbonisation by deindustrialisation,” Ratcliffe wrote. “Lacking a robust manufacturing base, the economy will falter. High energy costs and burdensome carbon levies are pushing industry out of the UK at an unsustainable pace.” Speaking elsewhere, Ratcliffe described carbon taxes as “an extremely foolish levy in the world,” contending they place UK plants at a competitive disadvantage against international competitors. Currently, most chemicals and plastics are excluded from the UK's initial carbon border adjustment mechanism. Investment and Sustainability Claims The Ineos representative 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. British industry has had a very difficult year, yet society depends on this industry every day. If we don't produce these critical products 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 enhance energy efficiency, cut carbon emissions, and upgrade overall performance. He explained the site, which uses an processing unit running on North Sea gas and US-sourced liquefied petroleum gas, had been under “intense strain” from rocketing energy costs and the UK's carbon taxes. Records show that Ineos has previously received substantial tax breaks from the EU, valued at hundreds of millions of euros—interestingly while Ratcliffe was a prominent backer of the campaign for the UK to exit the European Union.