Change windfall tax to net £137bn, Reeves told

CHANCELLOR Rachel Reeves has been urged to reform the windfall tax in a move that could boost the economy by £137 billion by 2050.

- CRAIG PATON

Ms Reeves has been urged to reform the windfall tax in a move that could boost the economy by £137 billion by 2050.

Ahead of the start of its conference in Aberdeen this week, the trade body Offshore Energy UK (OEUK) released a report claiming replacing the energy profits levy next year with a profits-based mechanism could increase investment and output in the North Sea.

The UK Government has previously said the windfall tax which currently sits at 38% would be scrapped in 2030, or potentially earlier if oil and gas firm profits fall below a certain level.

The replacement, OEUK has said, would be triggered by "unusually high prices" and would be levied against excess profits.