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
24 December 2025
As activity in the US Gulf has stagnated at a lower level, the government is taking steps to encourage fresh exploration and bolster field development work
23 December 2025
The new government has brought stability and security to the country, with the door now open to international investment
23 December 2025
A third wave of LNG supply is coming, and with it a likely oversupply of the fuel by 2028
22 December 2025
Weakening climate resolve in the developed world and rapidly growing demand in developing countries means peak oil is still a long way away
