Sir Jim Ratcliffe battling to save £18bn debt

Sir Jim Ratcliffe has built one of the most expansive sporting portfolios in Europe through INEOS, with ownership or control of Manchester United, OGC Nice, FC Lausanne-Sport, the INEOS Grenadiers cycling team, and major involvement in Formula One via the Mercedes F1 partnership.

His move into elite sport accelerated in 2019, but the defining moment came in February 2024 when INEOS completed the purchase of a 27.7% stake in Manchester United for approximately £1.25bn, alongside full control of football operations.

The takeover followed a prolonged bidding process that saw Ratcliffe beat Sheikh Jassim after months of negotiations with the Glazer family, securing operational authority rather than outright ownership.

Since his involvement, United have undergone widespread structural change, including a reshaped executive hierarchy, aggressive cost-cutting, redundancies, and a clear shift toward financial sustainability.

Ratcliffe approved plans for a full Old Trafford regeneration project, including a proposed new 100,000-seater stadium and wider Trafford Park redevelopment, positioned as a long-term infrastructure reset for the club.

While United’s footballing rebuild remains a work in progress, Ratcliffe’s influence has already been felt through tighter wage controls, a revamped recruitment policy, and a renewed emphasis on sustainability.

That same survival-first mindset now frames the wider INEOS story, where financial discipline, debt pressure, and long-term resilience are once again under scrutiny.

Sir Jim Ratcliffe has survived financial brinkmanship before, but INEOS is once again facing a severe test as debt pressures intensify amid a deep downturn in the global chemicals industry, according to Press Reader.

The industrial group is carrying record levels of borrowing at a time when earnings are falling sharply, with billions of pounds of INEOS debt now trading at distressed levels and attracting the attention of opportunistic hedge funds and so-called vulture investors.

Credit markets have turned quickly, with bonds that were trading comfortably above par only months ago now priced as if default risk is rising, a shift reinforced by multiple credit rating downgrades from Moody’s and warnings from S&P.

INEOS has blamed a toxic mix of weak global demand, high energy costs, regulatory pressure, US trade tariffs and cheap Chinese imports, while Ratcliffe has been outspoken in his criticism of Europe’s net-zero policies, which he says are hollowing out manufacturing.

Cost-cutting has followed across the group, including plant closures, job losses, the scaling back of sporting investments and tighter controls at Manchester United, yet overall debt continues to climb.

With annual debt servicing now running into the billions and further borrowing still planned, analysts warn that restoring balance-sheet stability may prove Ratcliffe’s toughest challenge yet.