SNP MP Stephen Flynn (pictured) has called on the UK government to urgently release a portion of the £12.9 billion it holds for decommissioning tax relief to save jobs in North East Scotland and across the UK.
HMRC estimates that it will repay around £12.9 billion to operators in taxes previously collected due to decommissioning tax reliefs.
Despite increasing job losses in the sector due to the global health pandemic and economic crisis, the Treasury has failed to take decisive action to support the sector.
The Aberdeen South MP is calling on the UK government to work with Decom North Sea and the wider sector to find a mechanism that would release this money to the sector to save jobs and livelihoods.
Commenting, Stephen Flynn MP said:
“At a time when jobs and livelihoods are on the line, it is simply not acceptable for the UK Government to sit back and do nothing.
“By releasing a fraction of the £12.9 billion it holds against decommissioning tax rebates, with the stroke of a pen the Treasury could save hundreds of jobs in Aberdeen and the North East.
“This is money that they will have to spend in the years to come and it begs the question if now is not the right time to use it, then when is?
“The perfect storm of coronavirus and the oil price crash has put livelihoods and the very future of the industry on the line – the stakes could not be higher and the Chancellor simply cannot continue to sit on his hands.
“Just this week Maureen Watt MSP and I met with the team at Decom North Sea to discuss their very realistic proposals to free up some of this near £13 billion fund and I’ll be writing to the Chancellor on the matter too – after all, these are revenues raised in Scotland and should be brought forward to support the sector and jobs now.”
