The UK government has raised its windfall tax to 35pc
UK ratchets up windfall tax
Analysts and industry are left dismayed by larger-than-expected hike and potential unintended consequences
The UK government’s mid-November Autumn Statement raised its Energy Profits Levy (EPL), or so-called windfall tax, from January next year by 10 percentage points, to 35pc, taking the overall tax burden for producers to 75pc. It also extended its life from a previous promise to repeal it when prices returned to an undefined ‘normal’ level or by the end of 2025 to the end of March 2028 with no prospect of any price-related relief before then. Analysts are unconvinced by the move. “Assuming the lights are still on, will the last energy companies to leave the North Sea please turn them off,” quips Chris Wheaton, analyst at US investment bank Stifel. He dubs the government policy the ‘windfall ta
Also in this section
22 November 2024
The Energy Transition Advancement Index highlights how the Kingdom can ease its oil dependency and catch up with peers Norway and UAE
21 November 2024
E&P company is charting its own course through the transition, with a highly focused natural gas portfolio, early action on its own emissions and the development of a major carbon storage project
21 November 2024
Maintaining a competitive edge means the transformation must maximise oil resources as well as make strategic moves with critical minerals
20 November 2024
The oil behemoth recognises the need to broaden its energy mix to reduce both environmental and economic risks
