Not a single penny of the UK Government’s £200 million promise for Grangemouth has been delivered, a minister has admitted, fuelling growing concern over the future of one of Scotland’s most significant industrial sites.
UK Energy Minister Michael Shanks confirmed to a Holyrood committee that the money remains firmly in Whitehall’s pocket, awaiting what he called “a viable investment proposition”.
It’s a stark turnaround from February, when Labour leader Keir Starmer made headlines by vowing that £200 million from the National Wealth Fund would be channelled into Grangemouth.
Three months on, the refinery has closed its doors, jobs are at risk, and the promised cash has yet to arrive.
The revelation has prompted sharp criticism from SNP MSP Gordon MacDonald, who challenged Shanks during the committee session and later called the lack of funding a betrayal of Scotland’s industrial workforce.
He described the current stance as a “chicken and egg” scenario, arguing that private investors are unlikely to come forward without a show of commitment from the government first.
MacDonald made it clear that the silence from Westminster is not just frustrating, but deeply unfair.
“If Westminster can find millions to nationalise British Steel and billions for Carbon Capture in England, then it must find the means to deliver on its pledge to Grangemouth,” he said.
Industry experts and local workers have long argued that government backing is vital to the transition of the site from traditional fossil fuels to cleaner, more sustainable energy sources.
But without tangible financial support, hopes for a smooth transformation are beginning to fade.
The Grangemouth site has been a cornerstone of Scotland’s energy and chemicals sector for decades, supporting thousands of jobs directly and across the wider economy.
As energy policies shift and carbon targets tighten, the region faces a pivotal moment that will determine whether it remains an industrial powerhouse or becomes a casualty of political indecision.
Despite the political promises, the mood on the ground is one of disappointment.
Critics say the government’s failure to deliver shows a lack of seriousness about levelling up across the UK, particularly when it comes to Scotland’s industrial heartlands.
For the people of Grangemouth, and for Scotland’s economy more broadly, the stakes are high.
All eyes are now on Westminster to honour its word and invest meaningfully in a just transition.
Without action, the government’s £200 million promise risks being remembered not as a beacon of hope, but as another broken commitment.
