42 businesses have alerted HM Treasury that official plans could jeopardize £200 billion in investments in renewable energy and other domestic energy sources, as revealed in an open letter obtained by the.
Technology, engineering, and manufacturing companies are among the signatories.
Nonetheless, the Treasury declared that “thousands of new jobs in the industries of the future” will be created via its industrial policy.
The government currently intends to eliminate tax incentives for more investment, raise windfall taxes on oil and gas revenues from 75% to 78%, and extend the tax until 2030.
The letter, which was sent by Offshore Energies UK, indicates that businesses are worried about how lower investment and increased uncertainty could affect the supply chain “through jobs and the communities this industry supports, both directly and indirectly.”
Moreover, they contend that money from the sale of oil and gas helps finance investments in renewable energy.
The Labour manifesto made clear that the new administration intended to reduce investment allowances and boost and expand windfall taxes.
However, the offshore energy sector is requesting a position on the next government’s industrial strategy council and had hoped for a consultation with it.
