The Labour MP for Grangemouth has said that his Government’s industrial strategy is “nothing more than words on a bit of paper” if the refinery closes. Brian Leishman slammed the UK Government for “meekly” accepting claims from owners Petroineos that the refinery isn’t profitable.
He also warned Labour has not “learned lessons from the past” and it could scupper the party’s chances in the 2026 Holyrood election. Petroineos announced last month it would cease refining operations at Grangemouth in spring 2025 and proceed with a plan to convert the site into an fuels import terminal.
Leishman – who was elected Alloa and Grangemouth MP in July – had previously called for the refinery to be nationalised but Scotland Secretary Ian Murray ruled this out on Thursday. Murray said this would not happen because it would not make economic sense for the taxpayer to support a loss-making business.
Leishman told the Record: “I got called into a meeting on Thursday with [Energy Secretary] Ed Miliband and [energy minister] Michael Shanks. It was pretty much: ‘This is the way it’s going to be. This is it.’
“The Government’s green paper on UK industrial strategy, on every page almost it’s relevant to Grangemouth. It talks about infrastructure, investing in industrial sites, investing in new clean renewable energies and industries. It’s tailor-made for the place.
“But it’s nothing more than words on a bit of paper to Grangemouth people if the Government isn’t going to step in.”
He continued: “Petroineos have called the shots and the government have meekly accepted it. They’ve just taken Petroineos’ word that it’s losing money. They’ve not done any digging into the financials, to my knowledge, of what the refinery needs to be profitable.”
Leishman also said the workers at Grangemouth risked becoming “the modern day miners”.
He said: “In the green paper it says the Government will learn lessons from the past. That’s clearly not true. Four decades ago look at what happened to the miners. The refinery workers at Grangemouth are going to be the modern day miners.”
He also suggested the refinery closing would hamper Scottish Labour’s chances of winning the next Scottish Parliament election: “It’s going to be a topic for the 2026 Holyrood election… the UK Government has a non-aggression pact with the Scottish Government where they don’t criticise each other. If the UK Government think that pact with the SNP is going to stand the test of time then they’ve been incredibly naive.
When asked if this would have a negative impact on the party’s chances in two years’ time he said: “It’s certainly not going to have a positive one.”
He said that the Government should at least take “a transitional stake” in the refinery: “The workers are feeling betrayed, abandoned, let down, and they’re not wrong to feel like that. But the fight is not over. I’m still speaking to the workers and Unite and we’ll come up with some plan for the government to take a transitional stake and step in. It’s not too late.”
A Department for Energy Security and Net Zero spokesperson said: “The decision by PetroIneos to close the refinery is deeply regrettable, and we will leave no stone unturned as we continue to work with affected workers, relevant trade unions, and the local community.
“Alongside the Scottish Government, we have worked at pacesecure additional funding for the Falkirk and Grangemouth Growth Deal to invest in the local workforce, and help those affected find good, alternative jobs.
“We are also focused on finding a clean energy future for Grangemouth, including options in sustainable aviation fuels, hydrogen, and low carbon energy.”
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