One of the UK’s major oil refineries has gone into liquidation, putting more than 400 jobs directly at risk and sparking concerns over fuel security.

Lindsey Oil Refinery in Killingholme, Lincolnshire, which employs around 440 workers, has been forced to shut down after its parent company entered liquidation following mounting financial losses.

The move also threatens the future of hundreds more employees across 200 sites operated by the refinery’s owner, the Prax Group.

The company had recently appointed administrators in an effort to stabilise operations, but escalating losses at the refinery proved insurmountable.

Trade unions have reacted with alarm and are now calling on the government to take urgent action.

Unite general secretary Sharon Graham described the refinery as “strategically important” and warned that inaction would be a grave mistake.

“The government must intervene immediately to protect workers and fuel supplies,” she said.

“Unite has constantly warned that current policies have left the oil and gas industry teetering on a cliff edge. Instead of listening, ministers have put their fingers in their ears. We need a short-term strategy to keep Lindsey operating and a long-term plan to protect all oil and gas workers.”

Lindsey Oil Refinery, which began operations in 1968, has long played a critical role in the UK’s fuel supply chain. Over the decades, it has also been a major employer of skilled scaffolders, supporting thousands of jobs in construction and maintenance through long-term contracts and shutdown periods.

Its closure could have wider implications for domestic energy resilience, as well as for the wider industrial workforce.

Local leaders have expressed concern about the economic impact on communities in North Lincolnshire, where the refinery has been a cornerstone of employment for generations.

More updates are expected as efforts continue to secure jobs and assess the future of the site.