Arab Press

بالشعب و للشعب
Friday, Aug 22, 2025

Climate change: UK government oil and gas subsidies hit £13.6bn since Paris Agreement, campaigners say

Climate change: UK government oil and gas subsidies hit £13.6bn since Paris Agreement, campaigners say

Tax breaks for decommissioning oil and gas infrastructure in the North Sea are being challenged in the High Court in December by campaigners, backed by groups linked with Paid to Pollute.

The UK government has handed the oil and gas industry £13.6bn in subsidies since the landmark Paris climate accord was signed in 2015, according to campaign group Paid to Pollute.

Its analysis of new OECD data claims that from 2016 to 2020 companies received £9.9 billion in tax reliefs for new exploration and production and £3.7 billion in payments towards decommissioning costs.

Tax breaks for decommissioning oil and gas infrastructure in the North Sea are being challenged in the High Court in December by campaigners, backed by groups linked with Paid to Pollute.

Mikaela Loach is one of three complainants challenging oil and gas industry tax breaks in court


One of the complainants, climate activist Mikaela Loach, told Sky News: "No one's calling for the tap to be turned off tomorrow - that's just industry scaremongering.

"The UK has enough oil and gas already in production to see us through this transition. We don't need any additional fossil fuel developments."

There are 18 UK oil and gas projects in the pipeline that, if approved, could enjoy these subsides, including the Cambo oil field north-west of the Shetland Islands.

In the Glasgow climate pact from COP26, countries including the UK committed to "phasing down" inefficient fossil fuel subsidies and reaffirmed their commitment to limit warming to 1.5C above pre-industrial levels.

To hit that target, the world must reach net zero emissions by 2050, which means there can be no new oil and gas developments after this year, the International Energy Agency (IEA) has warned.

The financial think tank Carbon Tracker has warned that the 1.5°C target means Cambo and at least four other proposed projects risk becoming stranded assets with little or no economic value.

The group's head of oil gas and mining, Mike Coffin, told Sky News: "Any organisation that is claiming alignment with the 1.5C goals of the Paris agreement, or Net Zero 2050, cannot simultaneously be supporting new oil and gas projects going ahead.

"Many projects - including for example Cambo - are potentially uneconomic, even under slower transition scenarios which result in warming in excess of 1.5 degrees."

Paid to Pollute acknowledges that its expanded definition of tax break differs from the government's, but says it does meet the criteria as set by the World Trade Organisation and the International Monetary Fund.

The UK Government, however, says it does not give any subsidies to fossil fuels, and follows the IEA's approach to phasing them out.

A spokesperson said: "No other significant oil and gas producing nation has gone as far as the UK in supporting sector's gradual transition to a low carbon future, as demonstrated by our North Sea Transition Deal.

"While we are backing the UK's oil and gas industry's transition to green energy, there will continue to be ongoing but diminishing need for oil and gas over the coming years while we ramp up renewable energy capacity, as recognised by the independent Climate Change Committee."

Newsletter

Related Articles

Arab Press
0:00
0:00
Close
Dogfights in the Skies: Airbus on Track to Overtake Boeing and Claim Aviation Supremacy
Tim Cook Promises an AI Revolution at Apple: "One of the Most Significant Technologies of Our Generation"
Are AI Data Centres the Infrastructure of the Future or the Next Crisis?
Miles Worth Billions: How Airlines Generate Huge Profits
Zelenskyy Returns to White House Flanked by European Allies as Trump Pressures Land-Swap Deal with Putin
Beijing is moving into gold and other assets, diversifying away from the dollar
Trump Backs Putin’s Land-for-Peace Proposal Amid Kyiv’s Rejection
Zelenskyy to Visit Washington after Trump–Putin Summit Yields No Agreement
Iranian Protection Offers Chinese Vehicle Shipments a Cost Advantage over Japanese and Korean Makers
United States Sells Luxury Yacht Amadea, Valued at Approximately $325 Million, in First Sale of a Seized Russian Yacht Since the Invasion of Ukraine
Saudi Arabia accelerates renewables to curb domestic oil use
Cristiano Ronaldo and Georgina Rodríguez announce engagement
Asia-Pacific dominates world’s busiest flight routes, with South Korea’s Jeju–Seoul corridor leading global rankings
Private Welsh island with 19th-century fort listed for sale at over £3 million
Sam Altman challenges Elon Musk with plans for Neuralink rival
Australia to Recognize the State of Palestine at UN Assembly
The Collapse of the Programmer Dream: AI Experts Now the Real High-Earners
Armenia and Azerbaijan to Sign US-Brokered Framework Agreement for Nakhchivan Corridor
British Labour Government Utilizes Counter-Terrorism Tools for Social Media Monitoring Against Legitimate Critics
WhatsApp Deletes 6.8 Million Scam Accounts Amid Rising Global Fraud
Texas Residents Face Water Restrictions While AI Data Centers Consume Millions of Gallons
India Rejects U.S. Tariff Threat, Defends Russian Oil Purchases
United States Establishes Strategic Bitcoin Reserve and Digital Asset Stockpile
Thousands of Private ChatGPT Conversations Accidentally Indexed by Google
China Tightens Mineral Controls, Curtailing Critical Inputs for Western Defence Contractors
JPMorgan and Coinbase Unveil Partnership to Let Chase Cardholders Buy Crypto Directly
British Tourist Dies Following Hair Transplant in Turkey, Police Investigate
WhatsApp Users Targeted in New Scam Involving Account Takeovers
Trump Deploys Nuclear Submarines After Threats from Former Russian President Medvedev
Germany’s Economic Breakdown and the Return of Militarization: From Industrial Collapse to a New Offensive Strategy
Germany Enters Fiscal Crisis as Cabinet Approves €174 Billion in New Debt
IMF Upgrades Global Growth Forecast as Weaker Dollar Supports Outlook
Politics is a good business: Barack Obama’s Reported Net Worth Growth, 1990–2025
UN's Top Court Declares Environmental Protection a Legal Obligation Under International Law
"Crazy Thing": OpenAI's Sam Altman Warns Of AI Voice Fraud Crisis In Banking
Japanese Prime Minister Vows to Stay After Coalition Loses Upper House Majority
President Trump Diagnosed with Chronic Venous Insufficiency After Leg Swelling
Man Dies After Being Pulled Into MRI Machine Due to Metal Chain in New York Clinic
FIFA Pressured to Rethink World Cup Calendar Due to Climate Change
Iranian President Reportedly Injured During Israeli Strike on Secret Facility
Kurdistan Workers Party Takes Symbolic Step Towards Peace in Northern Iraq
BRICS Expands Membership with Indonesia and Ten New Partner Countries
Elon Musk Founds a Party Following a Poll on X: "You Wanted It – You Got It!"
AI Raises Alarms Over Long-Term Job Security
Russia Formally Recognizes Taliban Government in Afghanistan
Saudi Arabia Maintains Ties with Iran Despite Israel Conflict
Mediators Edge Closer to Israel-Hamas Ceasefire Agreement
Germany Seeks Taliban Deal to Deport Afghan Migrants
Emirates Airline Expands Market Share with New $20 Million Campaign
Robots Compete in Football Tournament in China Amid Injuries
×