UK carbon dioxide plant to reopen over fears of shortages linked to Iran war

Published on March 25, 2026

The UK government has announced the temporary reopening of the Ensus carbon dioxide plant in north-east England, a move that comes amid rising concerns over potential shortages linked to the ongoing conflict in Iran. Business Secretary Grant Shapps has approved a £100 million plan to restart the plant for an initial period of three months, aiming to stabilize the supply of carbon dioxide used in a variety of industries.

The Ensus plant, one of the largest producers of carbon dioxide in the UK, was mothballed in 2020 due to economic pressures and fluctuating demand. However, the current geopolitical climate, particularly tensions surrounding Iran, has heightened worries that disruptions in supply chains could lead to significant shortages of this crucial gas. Carbon dioxide is essential for the food and beverage sectors, particularly in the preservation and packaging of goods, as well as in the production of certain types of fertilizers.

Officials have expressed optimism that the restart of the Ensus plant will alleviate some of these concerns and help prevent potential disruptions to food production and supply. The plan has been met with cautious approval from various industry players who have flagged the critical role that carbon dioxide plays in maintaining operational stability.

The situation has escalated the urgency for the government to intervene proactively amidst rising energy prices and inflationary pressures that have already strained many sectors of the economy. The government’s decision reflects a commitment to ensuring food security and addressing potential economic fallout from the ongoing international crisis.

While the initial reopening period is set for three months, officials have indicated that the situation will be closely monitored, and further action will be determined based on the evolving circumstances surrounding both the conflict in Iran and the broader market conditions.