Sir Jim Ratcliffe Suspends Production at Key UK Plants Blaming High Gas Prices
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Sir Jim Ratcliffe's Industrial Giant Ineos Pauses Production at UK Plants
Image source: Getty Images
Image caption: Sir Jim said Ineos was being 'forced' to pause production at the three plants.
Published: 22 September 2026, 11:35 BST
Updated 6 minutes ago
Billionaire Sir Jim Ratcliffe's industrial giant, Ineos, is pausing production at its three plants in Hull, blaming high UK gas prices.
The firm stated that gas prices in the UK are twelve times higher than in the US and eight times more expensive than coal-based processes used by Chinese competitors.
Sir Jim expressed:
"We are being forced to mothball some of the most efficient plants in Europe, but with gas prices now 12 times the level in the US and 8 times that of China, we just cannot compete."
The facilities produce raw materials for various industries, including pharmaceuticals, clothing, cosmetics, detergents, construction, and military explosives across the UK and Europe. Gas is a crucial ingredient in their production processes.
Ineos revealed that the move will impact up to 1,000 staff, with 245 directly employed at the sites. However, the BBC understands that workers will be retained while Ineos attempts to source liquefied natural gas (LNG) directly from the US at lower prices or waits for gas prices to decrease.
Ineos is seeking tariff protections against Chinese products from UK and EU governments. They argue that their plants in Humberside are among the most efficient globally, producing materials with half the carbon footprint of US rivals and only one-eighth that of Chinese equivalents.
Two plants have already shut down, and a third will cease production in the coming days, according to the company.
This is the second time in less than a week that Sir Jim, who also owns Manchester United, has criticized government policy. Last week, he expressed his loss of confidence in the UK due to high taxes and immigration.
Sir Jim, whose wealth is estimated at £15 billion, has previously caused controversy with his immigration comments. He supported Brexit but has been a tax resident in Monaco since 2020.
The Department for Business, Innovation, Science, and Trade has been requested for comment.