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Prior to this week's £50m government bailout for its Grangemouth facility, industrial firms under the ownership of billionaire Jim Ratcliffe were already awarded up to £70m in British government support during the previous four-year period.

Recent Disclosures and Financial Support

According to official data published recently, public funding to Ratcliffe's chemical empire in the last year alone was between £16m and £38m. From August 2022 onwards, the conglomerate has obtained a total of £28m and £70m.

The government stepped in on Tuesday to provide Ineos with £50m to prop up its Scottish ethylene plant, fearing that otherwise the UK would cease to have its last remaining facility manufacturing ethylene—a critical raw material for plastics. Officials additionally supported a £75m loan guarantee, while Ineos pledged to invest £30m of its private capital.

Refinery Shutdown and Broader Context

This support comes following Ineos shut down the adjacent oil refinery in September 2024, resulting in the loss of 400 jobs—a move described as a significant setback to the area and a political problem for the government.

Ratcliffe, who is worth $14.5bn, is understood to have requested government assistance in October. This appeal comes at a time when the expansive Ineos group, under the control of the 73-year-old, has been under significant financial pressure, in part due to sharply increased energy costs in the wake of Russia's 2022 invasion of Ukraine.

In a sign of increasing concern over its ability to manage debt, the credit rating agency lowered Ineos's credit rating in September. Ratcliffe has also been required to invest significant funds into his off-road vehicle venture and the turnaround of Manchester United, in which he holds a minority stake.

Form of Support and Company Statements

Most the earlier government support was delivered in the form of tax relief in return for “voluntary agreements to curb consumption and CO2 output.” Figures for these relief schemes for Ineos's sites in Grangemouth and Hull were given as estimates rather than precise figures.

An Ineos representative stated the aid did not represent “special treatment” for the company, but was “awarded against strict criteria, and available to any UK business that qualifies.”

Although Ratcliffe thanked the government for the £50m support in an official statement, Ineos also released more critical comments. In these, the industrialist launched a broadside against government policy, specifically carbon taxes paid by industrial users.

“The solution is not decarbonisation by deindustrialisation,” he stated. “Without a strong manufacturing base, the economy will continue to decline. High energy costs and punitive carbon charges are pushing industry out of the UK at an alarming rate.”

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

Future Environmental Pledges

The Ineos representative further stated: “Ineos has invested over £400m at Grangemouth in the last five years to maintain its status as one of the most efficient chemical plants in Europe and to safeguard skilled jobs. British industry has had a brutal year, yet society depends on this industry every day. Should we fail to manufacture these critical products in the UK, they are brought in from overseas, often from higher-carbon production abroad.”

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

He noted 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.

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—interestingly while Ratcliffe was a leading supporter of the campaign for the UK to leave the EU.