INEOS Ltd. (London) announced a major £150 million investment to underpin the long-term future of its Grangemouth site in Scotland, one of the U.K.’s most important industrial assets and a critical hub for the nation’s manufacturing and energy sectors.
Supported by the U.K. 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 U.K. 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 U.K. 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 U.K. 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 program 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 U.K.
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.”