Update

UK produced CO2 gas supplies set to stop this autumn

Industry
August 15, 2025
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This week Vivergo, one of the two major UK bioethanol and CO2 producers, issued an ultimatum to government to provide a bailout or see the ‘imminent closure’ of its plant. If no agreement can be reached, Vivergo will start the wind-up process on Monday 14 August.

They have asked that losses are covered from that date, and support is given to return to profitability. However, the government response, which was to recruit “external consultants to provide a full appraisal and due diligence of the plans” suggests that no such support will be forthcoming.

Because the new UK/US trade deal allows an import quota of cheap US bioethanol equivalent to everything that’s currently produced in the UK, this would effectively mean the government subsidising all UK production which doesn’t seem likely.

For food and drink manufacturers this means tighter CO2 gas supplies starting this autumn.

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