Prime Minister Andy Burnham indicated to US President Donald Trump during a recent phone call that he would pursue a pragmatic strategy regarding North Sea oil and gas development. Trump has publicly claimed the UK leader committed to opening up drilling in the North Sea, characterizing the conversation as a shift in the British government’s stance on energy policy.
Labour’s 2024 general election manifesto pledged not to issue new licences for drilling, though it committed to honouring existing permits. The party has faced competing pressures, with trade unions and industry representatives advocating for expanded drilling, while some Labour MPs and environmental groups oppose new exploration. The government has not yet made formal announcements on policy changes, though Trump has praised what he views as movement on the issue.
Two oil and gas fields—Rosebank and Jackdaw, both in Scotland—currently form the centre of the drilling debate. Regulators approved exploration at these sites in 2022 and 2023, but those approvals were reversed in 2025 following legal challenges. The legal proceedings remain ongoing, and the government will eventually need to decide whether to permit production at these locations. Other licensed areas have received approval in recent years but remain largely undeveloped.
Opposition to expanded drilling comes from environmental advocates and some government figures. Former energy secretary Ed Miliband, now foreign secretary, previously characterised the Rosebank licence as “climate vandalism.” The Green Party and various climate organisations have warned that new drilling would accelerate climate risks. Energy poverty campaigners have argued that increased North Sea production would not reduce UK household energy bills, as gas sells at global market rates rather than domestic discounts.
Conservatives and Reform have backed increased drilling as a means to lower energy costs. The government retains the option to modify policy frameworks such as the Energy Profits Levy to encourage additional development if it chooses to do so.
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