Middle East: Economic Response

Kirsty Blackman Excerpts

Thursday 21st May 2026 Commons Chamber

[Rachel Reeves]

I thank my hon. Friend and all the MPs involved in helping to put together this scheme of support for ceramics. Like her, I welcome the work of the TUC and GMB in this. Innovation and ensuring that the industry is sustainable and competitive for the future is absolutely essential. This is not just a sticking-plaster policy; it is about setting up the industry for the future, including investment in innovation and R&D and also the diversification of energy supplies.

[Kirsty Blackman (Aberdeen North) (SNP)]

The UK is losing 1,000 oil and gas jobs a month. The Chancellor is aware of that, and we have made it very clear to her that we are keen to move to the oil and gas price mechanism as soon as possible—we urge her to do that. On the foreign branch profits announcement today, have the Government modelled the job losses that may occur as a result of this change in the oil and gas taxation regime? Can she tell the House how many jobs might be lost as a result?

[Rachel Reeves]

As I have said in previous answers, I recognise the role of oil and gas in the UK and its importance to the UK for many years to come, which is why we have changed the rules around tiebacks and put in place a permanent mechanism for taxing windfall profits. But the hon. Lady has to answer the question: are she and her party in favour of the foreign branch profits exemption or not? If not, they cannot back the support we are giving today to help people with the cost of living and the support we are giving for ceramics. This exemption means that we are moving in line with how other countries treat foreign profits. At the moment, we have the absurd situation where losses overseas can mean that businesses avoid paying their fair share of corporation tax in the UK. This moves us in line with what other countries do. It is closing a tax loophole, and the hon. Lady and the Conservatives should welcome that.