Shell’s third-quarter results announcement has reignited the debate on windfall profits in the energy sector. The former prime minister Liz Truss’s “commitment” to avoid any further windfall profits taxes looks set to be the latest victim of a U-turn.
Additional taxation is justified, as Shell’s chief executive, Ben Van Beurden, accepted a few weeks ago. The previous measures, introduced at the end of May, were clearly too limited and have left Shell in the almost embarrassing position of reporting quarterly profits of $9.5bn, just as the chancellor prepares the autumn statement.
