UK energy lobby urges new PM Andy Burnham to approve North Sea drilling

Industry groups, trade unions and business organisations have written to incoming Prime Minister Andy Burnham and Labour MPs urging approval of new North Sea oil and gas projects, arguing that domestic production will boost jobs, support the economy and reduce reliance on volatile imports. The open letter, signed by Offshore Energies UK, the GMB union, the Chemical Industries Association and others, stresses that North Sea oil and gas have lower emissions than imported fuels and are essential for meeting climate obligations while maintaining energy security.

At the same time, the Confederation of British Industry and Energy UK have called on the new government to slash energy levies on businesses, proposing the removal of the Renewables Obligation, Feed‑in Tariff and Climate Change Levy, and suggesting funding reforms that could cut business electricity costs by up to 20 %. They warn that 40 % of firms are cutting investment because electricity prices are about 45 % above the G7 median, threatening UK economic growth.

The lobbying effort also notes that Energy Secretary Ed Miliband may be prepared to consent to the Jackdaw gas field and the Rosebank oil project, despite previous Labour pledges to halt new licences, to demonstrate a credible economic strategy under a Burnham administration.