North Sea Tax Robbery Threatens Gas Supply

May 19th 2011

Michael Connarty (Linlithgow and East Falkirk) (Lab): Does the Minister accept that the £2 billion robbery of taxation from the North sea oilfields is now threatening the gas supply from that area? Total has told me that it would not have invested in the west of Shetland area if it had known about that tax. The Treasury’s latest proposal to tax every flight that a person takes out into

19 May 2011 : Column 487

the North sea will further threaten supplies. Will he intervene with the Treasury to stop it robbing North sea oil?

Charles Hendry: The hon. Gentleman talks about a robbery. I assume that he is going around telling his constituents that he would rather the Chancellor had not reduced fuel duty and cancelled some of Labour’s planned rises. We are determined to ensure that there is ongoing investment, and there is discussion with the Treasury about field allowances. The helicopter issue that he mentions is in a consultation document, which will take its proper course.


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