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Before this week's £50m government bailout for its Scottish plant, industrial firms controlled by billionaire Jim Ratcliffe had already been granted up to £70m in British government support over the past four years.

Latest Disclosures and Financial Support

According to official data released this week, state aid to Ratcliffe's chemical empire in the last year alone ranged from £16m and £38m. Since August 2022, the conglomerate has received between £28m and £70m.

Authorities intervened on Tuesday to provide Ineos with £50m to support its Grangemouth operations, concerned 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 private capital.

Refinery Shutdown and Broader Context

This intervention comes after Ineos shut down the neighbouring oil refinery in September 2024, resulting in the loss of 400 jobs—a move described as a huge blow to the local community and a political problem for the government.

Ratcliffe, who is worth $14.5bn, reportedly asked for government assistance in October. This appeal coincides with the wide-ranging Ineos group, under the control of the 73-year-old, has been under considerable economic strain, partly 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 lowered Ineos's credit rating in September. Ratcliffe has also been required to invest substantial resources into his off-road vehicle venture and the turnaround of Manchester United, in which he holds a partial ownership.

Form of Support and Official Responses

Most the previous state aid came in the form of tax breaks in return for “commitments to curb consumption and carbon dioxide emissions.” The value of these tax breaks for Ineos's sites in Grangemouth and Hull are reported as ranges rather than exact amounts.

An Ineos spokesperson said the aid did not constitute “favourable terms” for the company, but was “granted based on strict criteria, and open to any UK business that qualifies.”

While Ratcliffe publicly welcomed the £50m support in an announcement, Ineos also released more critical comments. In these, the industrialist strongly criticised government policy, specifically carbon taxes levied on industrial users.

“The answer is NOT decarbonisation by deindustrialisation,” he stated. “Lacking a robust manufacturing base, the economy will continue to decline. Soaring power prices and burdensome carbon levies are pushing industry out of the UK at an unsustainable pace.”

In further comments, Ratcliffe described carbon taxes as “an extremely foolish levy in the world,” arguing they put UK plants at a disadvantage against foreign rivals. Currently, most chemicals and plastics are not covered from the UK's initial carbon import tax.

Investment and Environmental Pledges

The Ineos spokesperson added: “Ineos has invested over £400m at Grangemouth in the last five years to keep it 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 everyone relies on this industry every day. If we don't produce these critical products in the UK, they are imported instead, often from more polluting operations abroad.”

A senior Ineos executive, head of sustainability for the company's chemicals unit, said the Grangemouth money would be used to improve energy efficiency, reduce carbon emissions, and upgrade plant performance.

He noted the site, which uses an processing unit utilising North Sea gas and imported liquefied petroleum gas, had been under “intense strain” from surging energy costs and the UK's carbon taxes.

Records show that Ineos has previously received significant tax breaks from the EU, valued at hundreds of millions of euros—notably while Ratcliffe was a leading supporter of the campaign for the UK to exit the European Union.