- INEOS is investing £150m at its Grangemouth site, supported by a £75m Government loan guarantee and £50m grant
- At a time when British manufacturing is in decline, this investment, in partnership with the UK Government, maintains the operation of Grangemouth as a critical and strategic supplier to UK industry.
- Government support shows the strategic importance of making things in Britain. It protects more than 500 high-value jobs, secures hundreds more in the supply chains and preserves the industrial capability the nation needs.
- Sir Jim Ratcliffe said “The £150m investment in the future of a major UK industrial site demonstrates INEOS’ commitment to British manufacturing. The support of the UK Government is welcome. However, we need to continue to work together to deliver competitive and efficient low-carbon manufacturing for the UK, long term. The answer is NOT decarbonisation by deindustrialisation. Without a strong manufacturing base, the economy will continue to decline. High energy costs and punitive carbon charges are driving industry out of the UK at an alarming rate. If politicians want jobs, investment and energy security, then they must create a competitive environment.”
INEOS has today announced a major £150 million investment to underpin the long-term future of its Grangemouth site in Scotland, one of the UK’s most important industrial assets and a critical hub for the nation’s manufacturing and energy sectors.
Supported by the UK Government, and facilitated by NatWest Group, the investment will upgrade key production units, improve energy efficiency, reduce emissions, and enhance the site’s competitiveness.
Grangemouth has long been at the heart of Scottish and UK industry. These investments maintain the site and more than 500 highly skilled direct jobs, as it continues to supply essential raw materials that are vital to the UK economy. From food packaging and housing insulation to automotive parts, hospital equipment, medicines and sustainable technologies, Grangemouth plays a fundamental role in making modern life possible.
Prime Minister, Keir Starmer, said: “When we said we’d protect jobs and invest in Britain’s future, we meant it - and this is proof. Through partnership, determination, and our Modern Industrial Strategy, we’re delivering new opportunities, fresh investment, and security for the next generation of workers in Scotland. This is about good jobs, stronger communities, and a modern economy that works for everyone. Our commitment is clear: to back British industry, to stand by hardworking families, and to ensure places like Grangemouth can thrive for years to come. Promise made, promise delivered.”
Business Secretary Peter Kyle said: “The UK Government’s decision to step in will protect Grangemouth as a site of strategic national importance and secure 500 vital jobs in the area. By partnering with INEOS we are backing the plant and its long-term future, giving certainty to workers and the supply chain for the next five years. This approach is part of our Modern Industrial Strategy through which we are working to reduce the cost of energy for industry and support manufacturing in the UK.”
Two-thirds of British manufacturing has disappeared in the last 25 years alone, while during that same period, the UK population has risen by more than 10 million. Demand for the foundational materials that critical sectors depend on will not subside. Without domestic manufacturing capacity they will need to be imported, often at a higher cost while delivering no economic or environmental benefit.
The programme of investments at Grangemouth forms part of a broader INEOS strategy to invest in modern, efficient, lower-emission industrial facilities across its portfolio. It reinforces INEOS’ long-term commitment to operating world-class assets in the UK.
ENDS
Additional Quotes
Chancellor Rachel Reeves said: “We said we would stand squarely behind communities like Grangemouth and we meant it. Building on the millions of pounds we’ve already invested in Grangemouth, this vital package protects our national resilience and secures the livelihoods of hundreds of people employed at the site way into the future.”
Scottish Secretary Douglas Alexander said: “The UK Government is investing £120m to protect jobs and secure future opportunities at Grangemouth. Grangemouth has been at the heart of Scotland's industrial story for generations, and we are ensuring it remains central to our future. This is a landmark moment for Grangemouth. This £120 million UK Government investment protects not just the 500 jobs at the plant, but hundreds more across Scottish supply chains. We have been clear that we will do everything possible to secure the long-term future of the Grangemouth site."
Robert Begbie, CEO Commercial & Institutional, NatWest commented: “As the UK’s biggest bank for business, accelerating regional growth is a key priority for us at NatWest. We know that this vital funding will support INEOS Grangemouth in remaining a critical site for our national resilience and prosperity, whilst helping protect jobs in Scotland and beyond.”
Photographs and downloads
INEOS in the UK .pdf INFOGRAPHIC showing connection of Grangemouth upstream and downstream,.
Media contacts
INEOS Agency: ineos@firstlightgroup.io | +44 20 7193 9030
David East: INEOS | david.east@ineos.com | +44 1324 476948
Richard Longden: INEOS | richard.longden@ineos.com | +41 79 962 61 23
About INEOS at Grangemouth Site:
https://www.ineos.com/sites/grangemouth/
Our site covers the same area as 640 football pitches; we directly employ around 1300 highly skilled people with many thousands more indirectly via our value chain. We have raw material supply pipelines connecting us to other manufacturing hubs in the North East and North West of England (see accompanying graphic)
Our business: INEOS Olefins & Polymers (UK) Europe operates world-scale petrochemical plants at Grangemouth. Our finished products of ethylene, propylene, polyethylene and are used as the building blocks in a multitude of applications which both enable and enhance many aspects of life today.
Our Products: The products we manufacture are vital to the well-being of a modern society, improving lives and livelihoods, delivering critical raw materials to other sectors and underpinning the global drive towards reducing greenhouse gas emissions and improving efficiencies. Our products go into the manufacture of PPE, supporting the production of vaccines as well as drips, syringes, blood bags and inhalers. All the polymers made at Grangemouth are fully recyclable; we are at the forefront of innovations to increase the amount of post consumer recyclates (PCR) in consumer applications and the use single plastics to make the process of recycling more efficient and more straightforward for the consumer. Our products help other sectors to reduce their carbon footprints too: ‘lightweighting’ vehicles, longer shelf-lives and reducing food waste.