Prax Lindsey Oil Refinery

Gareth Snell Excerpts

Monday 30th June 2025 Commons Chamber

[Michael Shanks]

Let me deal with that on two fronts. First, we have come to the House repeatedly to talk about Grangemouth. I have had meetings with a number of Members over the past year to discuss Grangemouth, probably more than I have had to discuss any other issue, and I have weekly meetings with Scottish Government Ministers, businesses or others to discuss Grangemouth’s future. No one wanted the outcome that we got from Grangemouth, but we have done everything in our power to turn that around and deliver a viable economic future for the site, so I do not entirely accept the hon. Gentleman’s criticism, which I think is misplaced.

Secondly, I apologise to the House for being unable to give explicit details about every part of the business, but one of the problems is that we have not been able to obtain clarity from the company about all the interdependencies within its own business group. We will discuss more of this in the coming days as we engage with the official receiver. It is important to separate the issue of insolvency for the refinery—the specific issue that we are discussing today—from the wider group issues, but I have no doubt that we will return to some of those in due course.

[Gareth Snell (Stoke-on-Trent Central) (Lab/Co-op)]

The shadow Secretary of State mentioned Moorcroft in Stoke. A small glimmer of light in what is otherwise a rather gloomy story is the rescue of that company by Will Moorcroft, the grandson of its founder, and the jobs that are potentially coming back. However, those jobs were put at risk, much like the jobs at this refinery, because of the eye-watering industrial energy costs that we face in this country. The Government have announced the British industrial competitive scheme, but it will not come alive for industrial energy prices until 2027, which is two years away.

I thought I heard the Minister say that the Government would consider the potential for changing the criteria for the energy intensive industry compensation scheme to bring in new sectors that could be offered some immediate help and some respite between now and the introduction of that scheme. If that is the case, will the Minister be clear about it at the Dispatch Box, and if he is able to look at the EIIC criteria, can he also look at the existing energy supercharger scheme, which would give ceramics companies in my constituency access to the support that they need in order to continue to thrive?

[Michael Shanks]

My hon. Friend is right to mention the impact of high electricity costs across industry. Since we came to office we have been doing everything possible—through the industrial strategy, and through other work that my colleagues in the Department for Business and Trade have been doing—to try to drive down energy costs, and we are doing wider work across the energy system to deliver clean power by 2030, and to bring down bills and reduce the volatility in bills that affects too many households and businesses throughout the country. We are looking at all the possible options, and I have said to the refinery sector that we are willing to look at all the schemes on a case-by-case basis. There is no easy answer to many of these questions, but we will, for example, consider eligibility for the industrial competitiveness scheme following the consultation that will open shortly, and it will be reviewed in due course.

I understand that the question relates to how fast we can move on some of these matters, but we need to ensure that we get this right, and we are doing everything we can, where we can, to move faster with some of the decisions.