Sir Tony Blair has accused Sir Keir Starmer's government of lacking a "coherent plan" for the country and pursuing policies that are holding back business.
In a highly critical essay, the former Labour prime minister criticised Starmer's approach to the North Sea, warning Labour risks damaging the UK economy by accelerating the decline of the oil and gas industry.
He argued the government lacked a “worked-out coherent plan” for the country and warned the UK must continue to use its remaining North Sea resources to remain competitive.
He wrote: "We must prioritise cheaper energy and electrification over net zero and use what is left of our North Sea oil and gas resources. This is essential for our competitiveness."
His comments will be seen as a direct challenge to Labour’s stance on the North Sea, which includes a ban on new exploration licences.
Commenting on the essay, Chief Executive of Aberdeen & Grampian Chamber of Commerce Russell Borthwick said: “Our region has seen the acute damage caused by hollowing out our proud North Sea oil and gas sector before the renewables and low carbon industries that will supply our future demand have been properly scaled up.
“For as long as we still need oil and gas, we should produce our own – not import these resources from halfway across the world at higher cost, and carbon emissions.
“Tony Blair is right – we’re putting ourselves at a huge competitive disadvantage by not using what’s left of our own oil and gas resources.
“We can get the North Sea moving again by unblocking the regulatory process, moving from the damaging Energy Profits Levy to the Oil and Gas Price Mechanism and taking a more pragmatic – and less ideological approach – on new exploration licences, based on our energy needs.”
Downing Street declined to comment directly on the essay, but said the prime minister remained focused on “delivering change for working people”.