Industrial Firms Owned by Tycoon Jim Ratcliffe Received As Much As £70m in British Government Support In the Last Four-Year Period

Prior to this week's £50m government bailout for its Grangemouth facility, chemical companies controlled by tycoon Jim Ratcliffe had already been granted as much as £70m in UK state aid during the previous four-year period.

Recent Disclosures and Financial Support

Based on official data released recently, state aid to Ratcliffe's chemical empire in the last year alone ranged from £16m and £38m. From August 2022 onwards, the company has received between £28m and £70m.

Authorities intervened this week to grant Ineos with £50m to support its Grangemouth operations, fearing that without it the UK would lose its last remaining facility producing ethylene—a vital raw material for plastics. Officials additionally supported a £75m loan guarantee, while Ineos pledged to invest £30m of its private capital.

Refinery Shutdown and Wider Challenges

This support arrives after Ineos closed the neighbouring oil refinery in late 2024, costing 400 jobs—a move described as a significant setback to the area and a challenge for the government.

The billionaire, with an estimated net worth of $14.5bn, reportedly asked for government help in October. The request 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 full-scale invasion of Ukraine.

Reflecting increasing concern over its financial health, 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 partial ownership.

Form of Support and Company Statements

The majority of the previous state aid was delivered in the form of tax relief in return for “commitments to curb consumption and CO2 output.” 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 “special treatment” for the company, but was “granted based on strict criteria, and open to any UK business that meets the requirements.”

While Ratcliffe thanked the government for the £50m support in an announcement, Ineos separately issued sharper remarks. In these, the billionaire launched a broadside against government policy, specifically carbon taxes paid by 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 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 place UK plants at a competitive disadvantage against international competitors. Currently, most chemicals and plastics are excluded from the UK's planned carbon import tax.

Investment and Sustainability Claims

The Ineos spokesperson added: “Ineos has invested over £400m at Grangemouth in the last five years to keep it as one of the most efficient chemical plants in Europe and to safeguard skilled jobs. British industry has had a brutal year, yet everyone relies 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, said the Grangemouth money would be used to improve energy efficiency, reduce carbon emissions, and upgrade plant performance.

He explained the site, which uses an ethylene cracker 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 substantial 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 leave the EU.