Keir Starmer has announced £200m in funding to boost investment at Grangemouth oil refinery, which is closing down with the loss of more than 400 jobs. The prime minister said the national wealth fund would provide £200m in state investment for up to five companies who move to Grangemouth, where several thousand jobs in the broader supply chain are also at risk. He said this should attract £600m in private investment. Speaking to reporters after his announcement at the Scottish Labour’s annual conference, he defended the timing of the decision, saying Labour acted as quickly as it could to develop a credible proposal. Starmer emphasized that the funding is not just a temporary solution but a long-term investment for Grangemouth. However, the crisis at Grangemouth has caused political trouble for Labour in Scotland, with trade union leaders criticizing the UK government for not acting sooner and members demonstrating outside the conference. Labour’s popularity has also been affected by its policy decisions, including scrapping the universal winter fuel payment and increasing national insurance. In response to the pressure, John Swinney, the first minister and SNP leader, announced further funding for Grangemouth’s just transition fund. Trade union leaders have urged both governments to invest in green technologies such as sustainable aviation fuel and biofuels at Grangemouth.

Source: https://www.theguardian.com/politics/2025/feb/23/keir-starmer-pledges-200m-for-grangemouth-oil-refinery-site