MP, Labour’s Shadow Energy and Net Zero
Secretary, responding to Shell's Q1 2023 profits,
said:
"It is staggering that and the Conservatives continue
to refuse to implement a proper windfall tax to make the energy
companies pay their fair share.
“Labour would bring in a proper windfall tax on oil and gas
giants to freeze council tax this year. Politics is about
choices. Labour is on the side of working people while the
Conservatives are bunging billions to oil and gas giants.
“A vote for Labour today is a vote to tackle the cost of living
crisis and Build a Better Britain for working people.”
Ends
Notes:
- The government introduced a new tax break when it introduced
the Energy Profits Levy, giving oil and gas giants billions back
in tax relief on investment many were planning anyway. Labour
called for this tax break on the Energy Profits Levy to be
scrapped, as part of its plan for a proper windfall tax
- Labour would increase the rate of the windfall tax to match
Norway’s rate of 78%, backdate the windfall tax so that surging
profits from January 2022 are included and end the loophole that
means billions are handed back to oil and gas giants.
- Together these changes would raise £10.4bn over 2022/23 and
2023/24, using figures published by the OBR in their March 2023
Economic and Fiscal Outlook that forecast the amount of energy
profits levy receipts and north sea investment in those years.
This would be used to fund the one-year council tax freeze which
would cost around £2.7 billion: Economic and fiscal
outlook - March 2023 - Office for Budget Responsibility
(obr.uk)
