Home Finance Ed Miliband just made blunder that'll cost UK billions and trigger tsunami...

Ed Miliband just made blunder that'll cost UK billions and trigger tsunami of legal claims

Miliband has just issued an immediate ban on new drilling for oil and gas in the North Sea, overruling his own officials in the process. His grandstanding move will delight party activists but cost the rest of us billions.

It will leave us even more dependent on vile foreign dictators for our energy and put us at the forefront of the next energy shock.

Worse, it will do absolutely nothing to slow climate change, because the UK will be just as dependent on fossil fuels as before. The only difference is that we will have to source them from overseas.

Yesterday, I warned that green energy geek Miliband was plotting to destroy the English countryside by covering it with onshore wind and solar farms.

Today, he has set out to destroy the nation’s finances, starting with our balance of payments.

In the 2022/23, the most recent for which figures are available, the UK government generated £10.57 billion of revenues by taxing North Sea oil.

While Miliband will not revoke existing licenses he has put a blanket down on issuing any new ones, according to the Daily Telegraph.

The North Sea still has plenty of capacity, but from now on, it will slow to a trickle. And this will cost us a fortune.

During the election, PM Keir Starmer did all he could to make sure Ed Miliband didn’t appear in front of the TV cameras. Now we know why. He’s a total liability.

It’s another way that Starmer has hidden his real intentions from us.

Issuing oil and gas exploration licenses has always been an apolitical process. Thanks to Miliband, it’s now highly political and a taste of things to come under Labour.

He ordered regulators not to approve a new round of drilling that was primed and ready to be confirmed.

Some 76 oil and gas companies have submitted 115 bids across the North Sea, Irish Sea and East Atlantic.

The North Sea Transition Authority reckoned these would boost UK oil output by 600 million barrels.

They won’t know.

With oil trading at around $85 dollars a barrel today, they would have been worth £51billion. The tax revenues on that would have run to tens of billions.

Especially with new chancellor Rachel Reeves pledging to raise taxes on UK oil and gas production to a thumping 78 percent, while slashing the industry’s investment allowances.

Now we’ve waved all of that goodbye. Despite Reeves claiming that the UK’s finances were in a total mess. You’d think she’d be grateful for every penny.

And there’s worse.

Exploration companies will have spent millions of pounds preparing their bits, and I’ll likely to sue the government for their money.

That will cost millions, too. Well done, Ed.

An even bigger issue is that the UK already imports three quarters of its oil and gas. That’s why we were hit harder than almost any other country when energy prices rocketed after Vladimir Putin’s invasion of Ukraine.

Now we will have to continue importing fossil fuels from some of the nastiest regimes on the planet, and pay heavily for the privilege.

Blocking long-planned oil and gas projects would risk leaving UK consumers even more exposed to the global energy shortages that sent bills soaring this winter.

Importing energy isn’t green. It comes from regimes with poor regulation and filthier methods of extraction, and has to be transported here on oil-fuelled ships.

Our energy security is shot to pieces. Miliband somehow believes that onshore wind can plug the gap. He hasn’t done his sums.

Miliband has only just only been in the job for four days or so. If he can inflict this much damage in under a week, think what he could do in a month. Or five years.


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