HANSARDCommons10 Jun 202612 contributions
Oil and Gas Sector: Employment
4. What discussions he has had with Cabinet colleagues on levels of employment in the oil and gas sector in Scotland.
I have ongoing discussions with Cabinet colleagues on the oil and gas sector’s future in Scotland, focusing on ensuring that our oil and gas workers have a future as part of our transition to clean energy. Indeed, the Chancellor and I met oil and gas sector leaders earlier this year.
Many businesses in my Bognor Regis and Littlehampton constituency depend on contracts linked to the North sea energy sector. With this Labour Government driving disinvestment and deindustrialisation, skilled workers are fleeing the industry. Every Member in this House will have constituents whose employment relies on this wider supply chain. Does the Secretary of State understand the chilling effect that his Government’s policies are having on business confidence and investment in this vital industry?
It seems to have slipped the hon. Lady’s mind that the energy profits levy was introduced by the previous Conservative Government. It also seems to have slipped her mind that fully a third of the jobs in the North sea were lost during the Conservative Government’s time in office. They failed time and time again to come up with any credible plan. The status quo of that lost decade was 70,000 fewer jobs in the North sea.
Jobs were lost at Grangemouth following Jim Ratcliffe’s decision to close the refinery. The then Tory Ministers, half of whom are now members of Reform, treated it as a commercial decision, and did and delivered nothing. In contrast, the UK Labour Government invested £120 million in December to save Grangemouth’s ethylene plant, but given the closure of the refinery, we must move far more quickly. What efforts is the Secretary of State making to deliver a new industry in Grangemouth with the £200 million allocated to the site by the Labour Government?
I assure my hon. Friend that, together with officials, I am actively engaged in efforts to secure the future of the Grangemouth industrial cluster, and I was central to the UK Government’s commitment of £120 million last December to secure the future of the wider site. In December last year, funding of up to £3 million was announced for the Scottish biotech company MiAlgae, which is expected to create up to 310 jobs over the next five years. However, the work continues.
I call the shadow Secretary of State.
The list grows longer every week: BP, Hunting, Harbour, Chevron, Well-Safe, Petrofac, Ithaca, Xodus and EnerMech have all announced redundancies in Scotland’s oil and gas industry. For some unfathomable reason, this Labour Government seem to think that everything is fine, but is it not the truth that they are carrying out the wilful destruction of this country’s domestic oil and gas industry, sacrificing thousands of jobs and making the country poorer and less secure?
History did not begin in July 2024. The hon. Gentleman can run, but he cannot hide from his record: 70,000 jobs lost in the North sea under the Conservatives, the energy profits levy introduced by the Conservatives, and zero plans for the North sea under the Conservatives.
It is clear that Labour Members just do not get it—or worse, they just do not care. A week tomorrow, there will be a referendum on our oil and gas industry in Aberdeen, and the choice could not be clearer. Only one party is standing up for the granite city, for Scotland’s energy industry and for Britain’s energy security, and that is the Conservative and Unionist Party. The Secretary of State must agree that in Aberdeen next week the choice will be clear: vote to get Britain drilling with the Conservatives, or vote for decline and job losses with Labour or the SNP.
That was rather more like a party election broadcast than a question. As always, I would recommend the good voters of Aberdeen to vote Scottish Labour.