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UK Toughens Energy Windfall Taxes After BP Profit Surge

Ministers say the levy turns wartime excess gains into help for households.

Overview

  • Energy Secretary Ed Miliband said the government will tax excess profits from energy firms to fund cost‑of‑living support.
  • BP reported first‑quarter profit of $3.2 billion, more than double a year earlier, as oil rose during the war on Iran.
  • The Treasury plans to lift the windfall rate on electricity generators to 55% from 45% when gas prices spike, according to the Guardian.
  • Miliband deleted a post calling BP's gains "morally and economically wrong" and reposted a message focused on stopping excess profits from war.
  • Conservative figures and North Sea industry leaders argue a 78% headline rate through 2030 and a ban on new drilling deter investment and threaten jobs.