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OEUK to hold crisis talks with industry over Labour’s new windfall tax proposals

19 February 2024

The leading representative body for the UK offshore energy industry will hold emergency summits with operator and supply chain members this week. Two meetings will take place in OEUK’s London and Aberdeen offices as the sector continues to express deep concern about Labour proposals to extend the windfall tax on UK oil and gas production if elected to government.

OEUK warned earlier this month that 42,000 jobs could be lost in the sector as a result of the proposals – and such losses would be felt before an election is even called. The confidence of energy producers to invest in the UK has come under consistent challenge in recent years, with industry cautioning that proposals to increase the tax further and remove vital allowances would deliver a hammer blow to homegrown energy both now and in future.

Senior figures from OEUK member companies are expected to attend the emergency summits, with OEUK chief executive David Whitehouse convening talks with operators on Tuesday 20 February and supply chain companies on Thursday 22 February.

Speaking ahead of the meeting, OEUK Chief Executive David Whitehouse said:

“We remain deeply concerned about what Labour’s proposals could do to our people. If we can’t get companies to invest here, there are no jobs. It’s that simple.

“I’m already hearing from our supply chain and from energy producers that these proposals would deliver a hammer blow to the energy we need today and to the homegrown transition to cleaner energies that everyone in the UK wants to see.

“These meetings will allow us to gather more evidence from employers to put to Labour leadership. As a sector which supports 200,000 jobs, contributes over £20 billion a year to the wider UK economy and has the skills and infrastructure to deliver a homegrown energy transition, we have so much to offer.”

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