Keir Starmer vows support for Mossmorran workers

Prime Minister Sir Keir Starmer has pledged support for workers at ExxonMobil’s plant at Mossmorran after his government said it would not sanction a bail out.

Hundreds of staff have been told their jobs are at risk as the petrochemical company prepares to close part of the site.

Sir Keir said the firm was losing £1m a week and that “every reasonable avenue” had been explored to keep the plant open.

Earlier, ExxonMobil chairman Paul Greenwood partly blamed UK government policies for the decision.

The Fife Ethylene Plant, which has produced base materials for plastics for about 40 years, is to close in February.

Exxon Mobil, which said that there was not a “competitive future” for the site, confirmed 179 directly employed jobs would be at risk along with 250 contractors.

At Prime Minister’s Questions, Conservative leader Kemi Badenoch cited Mr Greenwood’s comments, asking: “Is the loss of UK industry the price the country has to pay for having a clueless chancellor?”

Sir Keir replied: “Let me just say about ExxonMobil, it is a difficult time for the workforce there and we must focus on supporting them.

“We’ve been meeting the company for over six months and have explored every reasonable avenue.

“They’ve been facing losses for the last five years – it’s best to do the details before you chunter – and they’re currently losing £1m a week.”

The UK government confirmed on Tuesday that it would not offer financial support to keep the plant open.

Business Minister Chris McDonald told MPs that there was no realistic business plan to support investment.

Mr Greenwood told BBC Radio 4’s Today programme that there were “four keys to success” in the ethylene business: cheap and abundant ethane, low-cost operations, good market prices and a highly skilled workforce.

He said that while he had a “brilliant workforce”, the other conditions were not in place.

Mr Greenwood said that the UK government’s commitment to not issue new licences for North sea oil and gas exploration had contributed to higher ethane prices, while windfall taxes and emissions taxes had increased operating costs.

“We paid £20m last year in CO2 taxes, that will double in the next four or five years,” he said.

“My international competitors do not have those costs.

“I also have to deal with high energy costs and those kind of things – so these are deliberate government policies that are undermining us.”

The Scottish government has vowed to support workers and said that an investment taskforce set up following the closure of the Grangemouth oil refinery would be expanded to also consider the future of the Mossmorran site.

ExxonMobil said that it had been seeking a buyer for several months and that it would clean up and then demolish the site once production ends.

The company said that it would have a “full employee consultation” before the closure.

Trade union Unite urged the company to withdraw the immediate threat of closure and to explore all options to safeguard jobs.

GMB has called for politicians to produce a “planned and measured” transition.