The Chancellor heard directly from oil and gas
companies in a Fiscal Forum meeting in Edinburgh this morning
(December 9).
During discussions, he highlighted the importance of energy
security in the aftermath of Russia’s war with Ukraine, and said
that the Government continues to recognise the importance of the
sector and the value of its investments.
He stressed that this was both as a key asset for supporting UK
energy independence and ensuring a sustainable transition to Net
Zero. He explained that is why the more investment a firm makes
into the UK, the less tax they pay.
The Chancellor emphasised that the Autumn Statement was focused
on securing fiscal sustainability after the two economic shocks
of a global pandemic and a war in Europe. It required difficult
decisions, and meant he was asking those with the broadest
shoulders to contribute more.
He highlighted the sector’s contribution through the Energy
Profits Levy, just over £40 billion between 2022-23 and 2027-28,
which will help contribute to the funding needed to deliver the
ongoing support schemes to businesses and households in light of
high energy prices.
He also heard attendees’ views on the impact of the changes to
the Energy Profits Levy.
The Chancellor welcomed the constructive discussions and said he
looked forward to further opportunities for Treasury engagement
with the sector, including through more regular Fiscal Forum
meetings in future.
Notes to editors
List of roundtable attendees:
- OEUK
- North Sea Transition Authority
- BP
- Serica Energy
- Shell
- Equinor
- Total Energies
- Ithaca Energy
- TAQA
- Harbour Energy
- Brindex
- Spirit Energy
- Neptune Energy
- Repsol
