Jim Ratcliffe halts production at Hull chemical plants over ‘ridiculous’ gas prices

AI desk brief

Ineos is mothballing three Hull chemical plants because UK gas prices are too high to compete, with 240 direct jobs at risk and up to 4,000 jobs potentially affected across the supply chain if closures become permanent. Ratcliffe said UK gas is 12x US levels and 8x Chinese coal-based input costs, underscoring ongoing European energy-price pressure.

For metals, the main transmission is macro: persistently high UK/EU energy costs are inflationary and growth-negative, while also highlighting the risk of further industrial displacement to the US and China. The UK government is offering support via a £350m co-investment scheme and electricity-discount plans, but the article points to continued energy-cost stress rather than relief.