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Before the recent £50m state rescue package for its Scottish plant, chemical companies 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 Revelations and Bailout Package

According to official data released recently, public funding to the Ineos group in the most recent year ranged from £16m and £38m. From August 2022 onwards, the company has received a total of £28m and £70m.

Authorities intervened on Tuesday to provide Ineos with £50m to prop up its Scottish ethylene plant, concerned that without it the UK would lose its last remaining facility manufacturing ethylene—a critical feedstock for plastics. The government also backed a £75m credit guarantee, while Ineos committed to invest £30m of its private capital.

Refinery Shutdown and Wider Challenges

This intervention arrives following Ineos closed the adjacent oil refinery in late 2024, resulting in the loss of 400 jobs—a move described as a huge blow to the area and a political problem for the government.

Ratcliffe, who is worth $14.5bn, is understood to have asked for government help in October. The request comes at a time when the expansive 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 2022 invasion of Ukraine.

Reflecting increasing concern over its ability to manage debt, Fitch Ratings 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 the football club, 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 reduce energy use and carbon dioxide emissions.” Figures for these tax breaks for Ineos's plants in Grangemouth and Hull are reported as ranges rather than exact amounts.

An Ineos spokesperson stated the aid did not constitute “favourable terms” for the company, but was “awarded against strict criteria, and open to any UK business that meets the requirements.”

While Ratcliffe thanked the government for the £50m support in an official statement, 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,” Ratcliffe wrote. “Lacking a robust manufacturing base, the economy will falter. High energy costs and punitive carbon charges are driving industry out of the UK at an unsustainable pace.”

Speaking elsewhere, Ratcliffe labelled carbon taxes as “an extremely foolish levy in the world,” arguing they place UK plants at a disadvantage against international competitors. It is noted that most chemicals and plastics are excluded from the UK's initial carbon import tax.

Investment and Environmental Pledges

The Ineos representative 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. British industry has had a very difficult year, yet everyone relies on this industry every day. If we don't produce these essential materials in the UK, they are imported instead, often from more polluting operations abroad.”

Colin Pritchard, head of sustainability for the company's chemicals unit, said the new funding would be used to improve energy efficiency, reduce carbon emissions, and boost overall performance.

He noted the site, which uses an ethylene cracker utilising North Sea gas and US-sourced 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 substantial tax breaks from the EU, worth hundreds of millions of euros—notably while Ratcliffe was a leading supporter of the campaign for the UK to leave the EU.