SNP MP Dave Doogan has written to the Westminster Government demanding clarity on the £200 million funding being allocated to support Grangemouth as the oil refinery is wound down.

Sir Keir Starmer announced the package during his speech to the Scottish Labour party conference last weekend, along with measures to support those losing their jobs.

In a letter to Labour’s energy minister, Michael Shanks, Mr Doogan has expressed concern that no money will be forthcoming without private investment, as stated by Daily Business on 24 February.

SNP energy spokesman Dave Doogan has now demanded details on the funding announcement as requests for a parliamentary statement were rejected this week.

In his letter, Mr Doogan asks whether the monies are loans to be paid back or whether it is a grant.

“In the event that no viable private sector investment propositions come forward, will this mean Grangemouth won’t see a penny of this money?” he asks.

“If so, does the UK Government have a contingency plan to invest public monies independently of the private sector?”

Mr Doogan also asks if the £20m is new spending or if it is taken from money previously allocated to other elements connected to Scotland’s energy sector, including the Falkirk and Grangemouth Growth Deal.

He also asks if the funds will be used to allow Grangemouth to continue operating as a refinery or to repurpose the site.

It was made clear last weekend that a refinery would only continue if a buyer came forward, a prospect that looks unlikely. Sir Keir listed a number of alternative uses for the site, including renewable fuels production.

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