The UK government has resisted a new wave of calls to impose more tax on oil and gas companies to help deal with the cost of living crisis.
Without ruling out the idea, a Treasury spokesperson said on Thursday that it could deter “billions worth of investment,” and compromise the UK’s energy and job security.
“A windfall tax could deter billions worth of investment, which would risk both security of our energy supply, as well as almost 200,000 jobs that rely on the industry,” the spokesperson said in a statement.
“Oil and gas companies in the North Sea are already subject to a tax rate on their profits that is more than double those paid by other businesses. To date, the sector has contributed more than £375 billion [$464 billion] in production taxes,” the spokesperson added.
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