THE UK Government has denied reports Ed Miliband has ordered an immediate ban on new drilling in the North Sea.
The Telegraph reported on Thursday morning the Energy Secretary – a committed opponent of oil and gas – had told regulators not to approve a new round of drilling that was slated for confirmation in the coming weeks.
The move would have seen Miliband overrule officials and experts warned legal action would be likely.
But the UK Government's Department for Energy Security and Net Zero has said the reports are untrue and no official decision has been made.
The news was reported after questions were asked by journalists at the paper about outstanding drilling applications.
Applications were submitted by 76 oil and gas companies as part of the 33rd offshore oil and gas licensing round initiated by the last government in autumn 2023.
Bids for up to 35 areas of the North Sea were still awaiting a decision from the North Sea Transition Authority (NSTA) when the election was called.
In a statement late on Wednesday, Miliband's spokesman said: “We will not issue new licences to explore new fields, and will not revoke existing oil and gas licences. We will manage existing fields for the entirety of their lifespan.”
It comes after hundreds of businesses joined a campaign last month against Labour’s policy of refusing to grant new oil and gas licences in the North Sea.
Trade union Unite launched a “no ban without a plan” movement.
An open letter was signed by businesses from north east Scotland, Falkirk and Bo’ness after Keir Starmer’s party said it would not hand out new licences but would continue with any already in operation.
In a debate earlier this year, Miliband made his opposition to oil and gas clear by saying: “Oil and gas licensing will not reduce energy costs for households and businesses … will not enhance energy security, and offers no plan for the future of the UK’s offshore energy communities.
"It will ensure the UK remains at the mercy of petrostates and dictators who control fossil fuel markets and is entirely incompatible with the UK’s international climate change commitments.”
Miliband and Chancellor Rachel Reeves also pledged in opposition to raise taxes on UK oil and gas production profits from 75pc to 78pc and to slash the industry’s investment allowances.
The King’s speech next Wednesday is expected to outline more of Labour’s plans for taxing UK oil and gas.
A DESNZ spokesperson said: "This piece is a complete fabrication - it invents meetings and decisions that have not taken place.
“As previously stated, we will not issue new licences to explore new fields. We will also not revoke existing oil and gas licences and will manage existing fields for the entirety of their lifespan.
"We are working with the North Sea Transition Authority to ensure a fair and balanced transition in the North Sea.”
