U.S. Markets open in 4 hrs 42 mins

Jeremy Corbyn's plans for a windfall tax on oil slammed by industry chiefs

Mark Shapland
Sky News

The oil industry today slammed Labour leader Jeremy Corbyn’s proposals for a one-off tax on UK oil companies.

Under the plans announced by Corbyn in Birmingham, oil companies will face a windfall tax under Labour as his party pledged to make the UK carbon neutral by 2030.

But it has been treated with disdain by trade body Oil & Gas, which represents the UK oil industry.

Oil & Gas says the proposals would drive investors away and damage the long-term competitiveness of the UK’s offshore oil and gas industry.

It added that jobs and future tax revenues would be lost.

Gareth Wynn, communications director for Oil & Gas said: “These plans will needlessly damage the UK economy. Our industry is already in action to play its part in helping the UK achieve its net zero emissions target and is doing so alongside minimising our reliance on imported oil and gas.”

Last week Labour said it would look to nationalise telecoms giant BT.

Shares in BP fell 3.4p to 494p, while Shell lost 10.5p to 2240p.