Sir Keir Starmer has hit back after one of his new Scottish Labour MPs warned the UK Government was “sleepwalking into industrial devastation”.
Brian Leishman's criticism came as he called on the Prime Minister to nationalise the Grangemouth Refinery.
The MP said the closure was “not a done deal” and that “the fight must go on”.
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Petroineos, the joint venture between INEOS and PetroChina, which owns the 100-year-old plant, first announced plans to close the refinery last November, and said that its future as an import terminal would “require significantly fewer people to operate”.
They confirmed last week that the transformation would "lead to a net reduction of approximately 400 roles over the next two years".
It is thought up to 280 workers could go in the three months following the closure while another 100 would be retained for up to a year to begin decommissioning work.
The company say they have already recorded losses in excess of $775 million, despite investing $1.2 billion.
According to reports, the refinery is currently losing around half a million dollars a day.
Mr Leishman told BBC Scotland: “We’ve got to pull out all the stops and that includes nationalisation.”
The new MP said that it was “most definitely” time for the government to take over ownership.
Asked if Sir Keir Starmer was doing enough to save the future of Grangemouth, Mr Leishman replied: “I would challenge that.”
In a separate interview with STV, he said: “My message to Keir Starmer, the entire Labour leadership, and also the First Minister John Swinney is to get around the table with Petroineos, and get to the bottom just to see exactly what the books say about the refinery, and exhaust all opportunities to make sure the refinery stays open.
“And ultimately what we need in this country is nationalisation of the refinery.
“As a Labour MP within a Labour government, I am putting forward that case and I am doing that on a daily basis.
“My position has been consistent and it will remain so – Grangemouth must stay open.”
Asked if ignoring those calls would mean letting down the local community, Mr Leishman said: “Absolutely. The local community, in fact all of Scotland, is dependent on this.
“When we look at the industrial devastation we had four decades ago with the mining community, something similar is now playing out at Grangemouth.
“The miners four decades ago kept Scotland warm and now Grangemouth refinery workers keep Scotland moving.”
The accusation was put to Sir Keir by STV later. “I don’t accept that,” he said.
“We are absolutely focused on the transition we need to clean power by 2030.
“Scotland plays a huge part in that.
“That’s the case we made in the election.
“We’ve got those Scottish MPs now and I intend to deliver on the promises that we made in terms of the economy, in terms of the next stage towards transition and to make sure that the good jobs of the future are in Scotland.
“Hence GB Energy being headquartered in Scotland is a sort of statement of intent, if you like.”
The Prime Minister – who was speaking to regional broadcasters as part of a round of interviews ahead of this weekend's Labour conference – said the closure of the refinery was a “cause for concern".
He said the £10 million investment from his Government to the area was “the right deal for the local community”.
In a separate interview with BBC Scotland, Sir Keir would not be drawn on the UK Government taking a more direct ownership role in Grangemouth.
The local SNP MSP Michelle Thomson said she was surprised by Mr Leishman’s comments.
She said: “I have made clear that I will support action that protects the jobs of today at the refinery to allow time to create the jobs of tomorrow".
“I am not optimistic that the UK Government will step in as Mr Leishman hopes - and am surprised at his call given his entire election hinged on vote Labour to save the refinery.”
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