BP and Shell signal future UK investment regardless of calls for a windfall tax

BP and Shell have indicated they are committed to investing billions in Britain's renewable energy despite calls for a windfall tax on their bumper profits - weakening the government's claims that a levy could deter future funding.

- SAPHORA SMITH

After Shell reported nearly £7.3bn in first-quarter profits, chief executive Ben van Beurden said the company has a “very strong commitment” to investing in the UK if it makes "economic sense".

Ed Miliband, Labour's shadow climate change secretary, said it proved the government's arguments against a windfall tax are “total nonsense”. He added: “The truth is that what's happened over the last few months is that the government has put forward excuse after excuse, and each one of them has been comprehensively debunked."

Mr Van Beurden's comments come after BP chief executive Bernard Looney said his company would continue with plans to invest up to £18bn in Britain this decade even if the government introduced a one-off levy. Ministers have said a windfall tax could deter billions worth of investment, risking security of our energy supply, as well as almost 200,000 jobs that rely on the industry.