Oil Firms Push for Tax Breaks After Cashing In on Middle East Crisis
Energy firms are pushing for tax breaks after 'cashing in' on the Middle East crisis, according to campaigners. The potential move could cost the UK up to £8.6 billion by 2030.
The government has outlined plans to replace the current windfall tax with a new scheme called the oil and gas revenue levy, which is set to happen in 2030. However, energy firms are urging for the replacement regime to start earlier.
A report by Global Witness found that introducing the new tax system earlier would result in £8.6 billion less being raised by 2030 if oil prices remain at around 100 US dollars a barrel.
Clare Aston, a tax expert involved in the research, stated that 'the replacement for the energy profits levy must be capable of raising broadly equivalent amounts for the government.'