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UK ministers to meet energy bosses amid talks of tightening up contingency tax | Great Britain cost of living crisis

Ministers to meet with heads of energy companies on Thursday to discuss measures to combat rising cost of live like the UK government thinking about the fight up contingency tax on their profit.

Chancellor Nadhim Zahavi and business secretary Kwasi Kwarteng will meet gas and electricity bosses as the Treasury considers tightening the 25 percent tax. on profit of Oil and gas of the North Sea operators announced in May.

Nonetheless government acknowledged that the meeting was only part of of short-term answer” and any policy decisions were hardly made before new prime minister is announced next month.

Before Zahavi’s predecessor, Rishi Sunak, announced tax in May, ministers divided on whether to implement it with Kwarteng is among those who oppose it.

sunak, one of two contenders for the post of conservative party leader and prime the minister hoped to raise £5bn through the levy, which includes significant investment incentives.

Oil and gas companies have made huge profits since the beginning of the energy crisis last summer aggravated by war in Ukraine, which further pushed up wholesale energy prices.

Since the tax was announced, oil and gas companies have announced even more profit than previously thought. Alliances with bumper markings earnings “insult millions like cost of life hits households, who are facing accounts of more over £4,000 next year.

A Treasury source told the Sun that first informed news of meeting: “If you look back what these firms were supposed to produce and what they actually brought in, it exceeded their wildest expectations. we look at options go further and faster on these profits.

government It has also put forward the idea of extend the tax to electricity producers, although Boris Johnson later rejected the proposal.

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Education secretary James Cleverley, said the meeting on Thursday would be attended by the Chancellor and business secretary “call in”leaders of in big energy companies to “bump heads against each other” and “hold them accountable for what they’re about to do.” with these profits.

He said the meeting was “part of of short-term answer” and what is not “very big policy- change of decisions will take place before Johnson leaves Downing Street in September.

Cleverly said Good morning Britain on Wednesday: “Increase in energy costs were caused by the war in Ukraine and global crunch; it affects everyone pretty much all over the world world. Each in developing world sees these electricity bills coming up.

“What we need do it do it sure that we have a short, medium and long term plan, so chancellor and business secretary receive these energy companies in as part of short-term response.”

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Adrian Ovalle
Adrian Ovalle
Adrian is working as the Editor at World Weekly News. He tries to provide our readers with the fastest news from all around the world before anywhere else.

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