Ineos announces job losses at petrochemical plant

A petrochemical company has announced it intends to cut 60 jobs at a plant in East Yorkshire blaming high energy costs and "dirt-cheap" imports from China.

Sixty jobs will go at the Ineos Acetyls site near Hull, which makes products including acetic acid used in manufacturing.

Bosses said they have "explored every possible alternative" and have not ruled out further job losses across the industry without government intervention.

A government spokesperson said: "We recognise this will be difficult for affected workers and their families, and we continue to engage with Ineos and the wider sector to explore potential solutions that will ensure a viable chemicals industry in the UK."

David Brooks, chief executive of Ineos Acetyls, said it was a "very difficult time" for the "highly skilled" team at the Hull facility and the decision to cut jobs was "was not taken lightly".

He said: "We have explored every possible alternative but in the face of sustained pressure from energy costs, combined with unfairly low-cost imports into the UK and Europe, we've been left with no other choice."

The company, which is owned by Sir Jim Ratcliffe, co-owner of Manchester United Football Club, said UK energy costs and "dumped Chinese imports" had "crippled the industry".

Mr Brooks said: "Our priority now is to support those affected and protect the long-term future of the site."

"This is not an isolated issue. It is part of the same structural crisis that is hitting chemicals companies across the UK and EU," he added.

A government spokesperson said the chemicals industry was paying the fossil fuel penalty, with wholesale gas costs remaining 75% above their levels before Russia invaded Ukraine.

They added: "Our modern Industrial Strategy is slashing electricity costs by up to 25% for sectors including chemicals, and the UK's independent Trade Remedies Authority has the power to investigate the impact of cheap imports if requested by industry."