UK energy bosses urge tax reforms to unlock 100+ oil and gas projects

Energy sector leaders have stated that more than 100 new oil and gas projects could be approved if the UK government reforms the current tax regime and adopts a more pragmatic licensing approach. Offshore Energies UK (OEUK) is advocating for the reform of the Energy Profits Levy (EPL) early next year and the implementation of a regulatory framework that prioritizes domestic energy supplies over imports.

OEUK Chief Executive David Whitehouse warned that failing to implement these changes could lead to job losses, increased reliance on energy imports, and reduced national resilience. He specifically called for the planned Oil and Gas Revenue Levy, intended to replace the EPL, to be brought forward from 2030 to 2027.

Whitehouse also emphasized the need for timely decisions regarding the Rosebank and Jackdaw developments. He noted that delays in approving the Jackdaw gas field, located east of Aberdeen, could impact UK gas supplies, stating that the field is a critical component for the 2026-27 winter period and could provide up to 6% of required gas.