Commons Sense

House of Commons · Written Ministerial Statement

Oil and Gas High Price Mechanism Consultation

05 March 2025 · Treasury

Proposed by James Murray Lab Co-op Ealing North

Energy

Summarised by AI from the official record, so it can contain mistakes.

View on Parliament.uk

At a glance

Key points

  • The UK government is consulting on a new permanent mechanism to address future oil and gas price shocks post-2030.
  • HM Treasury and HMRC have published a consultation document seeking stakeholder input on design options.
  • The consultation period will end on May 28, 2024.

Issue summary

The statement addresses a consultation on establishing a new permanent mechanism to respond to future oil and gas price shocks after the Energy Profits Levy ends in 2030.

Action requested

HM Treasury and HM Revenue and Customs have published a consultation seeking stakeholder feedback on design options for a new high-price mechanism. The consultation will remain open until May 28, 2024, and findings will inform the final mechanism's design.

Key facts

  • The Energy Profits Levy (EPL) was introduced in 2022.
  • The EPL will end in 2030 or earlier if its price floor is triggered.
  • The consultation will close on 28 May, 2024.
  • A separate consultation titled “Building the North Sea’s Energy Future” has been launched by the Department for Energy Security and Net Zero.
▸ Assessment & feedback
Summary accuracy