The response to the impending closure of Scotland’s only oil refinery at Grangemouth has been slammed as insufficient, with Scottish Labour leader Anas Sarwar stating there has been “nowhere near enough progress” in supporting affected workers. The facility, operated by Petroineos, is set to shut down by summer, eliminating over 400 jobs.
Political Leaders Voice Concerns
Sarwar criticized the UK government’s handling of the situation, insisting that Labour ministers were “looking robustly” at ways to support the site and ensure a just transition for workers. He acknowledged efforts such as Project Willow, a feasibility study aimed at developing new industry at the site, but maintained that the overall response remained inadequate.
Labour MP Brian Leishman echoed these concerns, describing the closure as “the biggest industrial issue to hit Scotland in 40 years.” He expressed frustration at both the current UK government under Sir Keir Starmer and the previous Conservative administration, as well as the Scottish government, for not doing enough to secure the refinery’s future.
Financial Support and Workforce Transition
In response to the closure announcement, the UK and Scottish governments have assembled a £100 million support package for workers and the local community. However, Scottish ministers are pressing for additional investment from the Treasury, arguing that the current measures fall short of addressing the long-term economic impact.
- The package includes funding for job retraining and community investment.
- Redundancy support has been provided to affected employees.
- Feasibility studies are underway to explore alternative industrial uses for the site.
Despite these efforts, Sarwar insists that the measures are not enough to offset the economic disruption caused by the closure.
Redundancy and Job Losses
Approximately 500 employees currently work at the Grangemouth refinery, but only 65 positions are expected to remain as the site transitions into an import terminal for fuels such as petrol, diesel, aviation fuel, and kerosene. Many workers have already agreed to voluntary redundancy packages, and job losses will be phased over the next 18 months.
The Unite union has condemned the closure as a “needless act of industrial vandalism,” arguing that it will have severe repercussions for Scotland’s energy sector and workforce.
Calls for Immediate Government Action
Scottish First Minister John Swinney has called the closure “short-sighted” and urged Prime Minister Starmer to deliver “real investment to save Grangemouth.” Swinney emphasized that the Scottish government was prepared to collaborate with UK ministers and Petroineos to explore viable alternatives.
Meanwhile, the UK Department for Energy Security and Net Zero has defended its response, highlighting the swift rollout of the £100 million aid package and the provision of tailored employment support for affected workers. Scottish Conservative Russell Findlay described the job losses as “heartbreaking” and accused both governments of failing to take sufficient action.
The debate over Grangemouth’s future continues, with political leaders, unions, and industry stakeholders demanding stronger intervention to prevent a full-scale economic fallout in the region. As the summer deadline for closure looms, pressure is mounting for decisive government action to mitigate the impact on workers and the local economy.