Prime Minister Sir Keir Starmer is under pressure to convene an emergency summit on energy jobs after First Minister John Swinney agreed to a joint government session in Aberdeen.
Aberdeen & Grampian Chamber of Commerce (AGCC) took its campaign to scrap the windfall tax to the heart of Westminster yesterday, delivering an open letter signed by more than 2,500 business people.
The Energy Profits Levy, due to end in 2030, means the effective rate of tax on oil and gas companies is 78% - despite energy prices returning to normal levels.
This has already cost 10,000 jobs in the sector since the tax was introduced and its continuation will result in “deindustrialisation and mass unemployment”, signatories say.
The letter said: “Regrettably, we find ourselves in the economically and environmentally incoherent position whereby government policy is bringing a premature end to the oil and gas sector whilst the UK simultaneously relies on increasing amounts of carbon heavy and costly imports from overseas to meet its energy needs.
“The situation is absurd, and we urge you to act now before it’s too late. The Climate Change Committee highlights the UK needs up to 15 billion barrels of oil and gas up until 2050 and our world-class oil and gas sector can meet almost half of this, unlocking £150bn to the UK economy.”
The letter followed a call by AGCC for the prime minister and first minister to convene an emergency summit on energy jobs after almost 600 roles were lost in just two weeks.
John Swinney has now written to AGCC accepting the invitation, stating: "I note your suggestion that the prime minister and I co-chair a summit on jobs in the energy sector. I am very happy to agree to that and have asked my officials to contact you to discuss what would be involved."
The prime minister has yet to respond.
Yesterday morning, SNP Westminster leader Stephen Flynn joined the campaign against the EPL - which was introduced by the Conservatives in 2022 - alongside Tory MP Harriet Cross, SNP MPs Kirsty Blackman and Seamus Logan, and Russell Borthwick, Chief Executive at AGCC.
Mr Flynn said: “The Labour Government’s fiscal regime puts energy security in jeopardy, it causes mass redundancies and importantly it runs the real risk of ending net-zero ambitions because if you don’t retain the vast skills we have in our energy sector today, you lose the people who will deliver the green energy of tomorrow."
The UK Government spokesman said: “The government has reformed the Energy Profits Levy to support investment and give industry certainty and stability.”