In a landmark move to safeguard jobs and usher in a clean energy future, Prime Minister Keir Starmer announced today that the National Wealth Fund will invest £200 million into Grangemouth, Scotland’s key industrial hub. The investment is set to unlock new industrial opportunities, secure long-term economic stability, and propel the region into the forefront of the UK’s green energy revolution.
The funding, announced on Sunday, February 23, aims to co-finance projects alongside private sector partners, focusing on transitioning Grangemouth’s historically fossil-fuel-driven economy towards sustainable, low-carbon industries.
Supporting Workers and Fostering Green Innovation
The government’s investment package isn’t limited to infrastructure. A “training guarantee” will provide fully funded skills programs at local colleges for Grangemouth’s refinery workers, many of whom faced uncertainty following recent announcements about the site’s future. The initiative is designed to ensure that workers can transition into sustainable, high-quality jobs with local employers, further solidifying the region’s economic resilience.
Prime Minister Keir Starmer emphasized the urgency of government intervention:
“My government is acting decisively to protect British jobs and industries critical to our economic security. From saving Harland and Wolff to securing a future for Port Talbot, we’re now seizing opportunities at Grangemouth. The National Wealth Fund investment of £200 million is a bold commitment to Scotland’s industrial future, fostering partnerships to launch cutting-edge industries.”
The investment will accelerate the UK’s net-zero ambitions while preserving the livelihoods of thousands of workers in Scotland’s central belt.
Building on Existing Commitments
This funding builds upon the existing £100 million Falkirk and Grangemouth Growth Deal, a collaborative initiative with the Scottish Government aimed at fostering clean energy projects and stimulating local economic growth. Additionally, the £1.5 million Project Willow feasibility study—co-funded by both governments—is exploring low-carbon options for the site, with findings expected in spring 2025.
Energy Secretary Ed Miliband praised the announcement as a decisive move to secure the site’s future:
“We’re leaving no stone unturned to ensure a sustainable future for this vital site. The National Wealth Fund will unlock Grangemouth’s potential, creating good jobs and driving investment with private sector backing as part of our Plan for Change.”
The Department for Work and Pensions (DWP) and the Department for Energy Security and Net Zero (DESNZ) are also offering tailored career support to help refinery workers transition into emerging green industries.
A UK-Scotland Partnership for Economic Resilience
Scottish Secretary Ian Murray underscored the importance of the UK Government’s collaboration with Scotland to drive economic resilience:
“The UK Government is working at pace to secure Grangemouth’s future. Today’s National Wealth Fund announcement demonstrates our unwavering commitment to the site and its workforce. We’ll continue partnering with the Scottish Government to deliver lasting results.”
Local leaders, while welcoming the announcement, have noted that the success of this initiative will rely heavily on private sector participation. Still, the government remains optimistic, highlighting the region’s potential to become a hub for clean energy innovation.
A Lifeline for Grangemouth’s Community
The £200 million pledge provides a much-needed lifeline to Grangemouth’s community, which has faced economic uncertainty amid talks of refinery closures by Petroineos. The funding ensures not only the preservation of jobs but also the creation of new opportunities within Scotland’s evolving energy sector.
For thousands of workers and residents, this investment signals hope and a renewed sense of purpose, positioning Grangemouth as a cornerstone of Scotland’s green future.
