Oral Answers to Questions

Anas Sarwar Excerpts

Wednesday 7th January 2015 Commons Chamber

[The Prime Minister]

I have raised this issue on behalf of a constituent, not only through the European Parliament but with the German authorities, and I shall certainly reflect on what the right hon. Gentleman says.

[Anas Sarwar (Glasgow Central) (Lab)]

Q5. The price of oil has now fallen to $50 a barrel. While this is good news for motorists, it is bad news for Scotland’s oil industry and thousands of workers. It comes just weeks after Nicola Sturgeon said we were on the verge of a second oil boom and after the independence White Paper said the price would be $113 a barrel. This is a serious issue—jobs depend on it—so will the Prime Minister agree to meet my right hon. Friend the Member for East Renfrewshire (Mr Murphy), a cross-party delegation, industry leaders and workers to see what support can be provided?

[The Prime Minister]

I absolutely agree with the hon. Gentleman on all three grounds. First, North sea oil is a vital industry for the UK and one of the biggest investors in our country, so we should do everything we can to help it. Secondly, and for that reason, we took steps in the autumn statement to improve the taxation regime for North sea oil. Thirdly, as we said during the referendum campaign, it makes the case that North sea oil is better off with the broad shoulders of the UK standing behind it, because we never know when the oil price is going to be more than $100 a barrel or, as it is today, around $50. It makes the case for the strength of the UK and the utterly misguided nature of the SNP, which thought it could base its entire budget on such a high oil price.