, , , ,

Cost of living: Portsmouth MP to vote for windfall tax on oil and gas producers’ excess profits

Stephen Morgan MP is set to vote with Labour on its motion for a one-off windfall tax on oil and gas producers’ excess profits, as the cost-of-living crisis continues to grow.

Labour’s amendment will be voted on during the Queen’s Speech debate on Tuesday. Unlike how the Government treats opposition day debates, MPs are required to vote on the amendment.

Labour first called for the windfall tax on 9 January, to fund a VAT cut on home energy bills and expand and increase the Warm Homes Discount, saving families struggling with soaring costs up to £600 off their bills.

Since then, the party has called on the Conservative Government to bring forward this change almost 250 times.

It comes as BP and Shell alone have made £12.37bn of profit in the first three months of 2022 – despite Cabinet ministers describing these companies as “struggling” when defending the Conservatives’ refusal to implement a windfall tax.

Analysis by the Labour Party on Sunday showed the expected profits of North Sea oil and gas firms in 2022/23 are higher than the combined rise in energy bills for every household in the UK.

As well as growing support from the Conservative backbenches, there is also widespread public support for a windfall tax, including senior business figures such as the chairs of Tesco and John Lewis.

The Member of Parliament for Portsmouth South, Stephen Morgan, said:

“As energy bills rise by record amounts for families across Portsmouth, it is shameful that Mr Johnson and Mr Sunak still refuse to back a windfall tax that could help tackle the cost-of-living crisis.

“Today, Labour will give MPs another chance to support our one-off windfall tax on oil and gas producer profits to bring down bills.

“Local Conservative MPs must now back this measure to bring down the energy costs of their constituents, or explain why they continue to oppose measures that would ease their cost-of-living.”