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Prior to the recent £50m government bailout for its Scottish plant, industrial firms under the ownership of billionaire Sir Jim Ratcliffe had already been granted up to £70m in British government support during the previous four-year period.

Recent Disclosures and Bailout Package

According to 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 conglomerate has received between £28m and £70m.

Authorities intervened this week to provide Ineos with £50m to support its Grangemouth operations, fearing that without it the UK would cease to have its last remaining facility manufacturing ethylene—a vital raw material for plastics. The government also backed a £75m loan guarantee, while Ineos committed to invest £30m of its private capital.

Refinery Shutdown and Broader Context

This support comes after Ineos shut down the adjacent oil refinery in late 2024, costing 400 jobs—a move described as a significant setback to the area and a challenge 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 soaring energy costs in the wake of Russia's 2022 invasion of Ukraine.

Reflecting growing unease over its financial health, the credit rating agency downgraded Ineos's debt rating in September. Ratcliffe has also been required to invest substantial resources into his Ineos Grenadier automotive project and the turnaround of Manchester United, in which he holds a partial ownership.

Nature of Aid and Company Statements

The majority of the previous state aid came in the form of tax relief in return for “voluntary agreements to reduce energy use and carbon dioxide emissions.” Figures for these tax breaks 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 “awarded against strict criteria, and available to any UK business that qualifies.”

While Ratcliffe publicly welcomed the £50m support in an official statement, Ineos separately issued sharper remarks. In these, the billionaire strongly criticised government policy, including carbon taxes paid by industrial users.

“The solution is not decarbonisation by deindustrialisation,” Ratcliffe wrote. “Lacking a robust manufacturing base, the economy will continue to decline. High energy costs and burdensome carbon levies are driving industry out of the UK at an unsustainable pace.”

In further comments, Ratcliffe labelled carbon taxes as “an extremely foolish levy in the world,” arguing they place UK plants at a competitive disadvantage against foreign rivals. Currently, most chemicals and plastics are excluded from the UK's initial carbon border adjustment mechanism.

Future Sustainability Claims

The Ineos representative further stated: “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 safeguard skilled jobs. British industry has had a very difficult year, yet everyone relies on this industry every day. Should we fail to manufacture these critical products in the UK, they are imported instead, often from more polluting operations abroad.”

Colin Pritchard, head of sustainability for the company's chemicals unit, indicated 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 running on North Sea gas and imported liquefied petroleum gas, had been under “extreme pressure” from rocketing energy costs and the UK's carbon taxes.

It has also been reported that Ineos has previously received significant 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 exit the European Union.