Grangemouth Oil Refinery Closure: Job Losses

Lord Forsyth of Drumlean Excerpts

Thursday 3rd July 2025 Lords Chamber

[Lord Wilson of Sedgefield (Lab)]

I welcome that question and agree with the noble Earl. If we look at the oil refinery industry, we see that refineries that are doing well are investing in the future; for example, looking at sustainable fuels. The Prax refinery unfortunately went into insolvency at the beginning of the week, but the refinery across the road, Phillips 66, is doing really well, because it is doing exactly what we want to see, which is investment in sustainable fuels for the future.

[Lord Forsyth of Drumlean (Con)]

My Lords, when will we see the end of this hand-wringing about loss of jobs in Scotland? It can be summed up for two reasons. One is net zero and the other is Ed Miliband.

[Lord Wilson of Sedgefield (Lab)]

I think the noble Lord will understand that I do not agree with that assessment of the situation. Our objective is net zero and what the Secretary of State is doing is thinking about the future. The jobs being lost in Scotland at Grangemouth are because the company has lost over £700 million since it took over the refinery. It invested £1.2 billion and still made a loss. It has got to do with the future, and it is about oil refineries which have international competitors. They need to change and secure long-term investment in sustainable fuels. There is a future for them, and it is one that we are going to back.