The final weekend before Andy Burnham enters Downing Street has been dominated by speculation that he will announce fresh support for North Sea oil and gas — but exactly what that means is a high-stakes balancing act between energy security, climate pledges, and the livelihoods of thousands of workers.
So what is actually happening? Burnham, the incoming Labour prime minister, has confirmed he will stick to his party's 2024 manifesto pledge to issue no new oil and gas licences. But he will honour existing ones — and his deputy, Lucy Powell, says there will be a "change of emphasis" on North Sea oil and gas, describing it as "an important part of the transition" to homegrown clean energy. The message is: pragmatic support for the industry as part of a longer-term shift, not a sudden shutdown.
“Explains incoming PM Andy Burnham's North Sea oil policy, its history, and its impact on UK energy bills and climate goals.”
This debate has a long history. The previous Conservative government approved controversial fields like Rosebank and Jackdaw, but those decisions are now being reconsidered due to successful legal challenges by environmental groups Greenpeace and Uplift. They argued ministers didn't fully consider the climate impact of burning the fossil fuels those fields would produce. The Offshore Petroleum Regulator for Environment and Decommissioning (Opred) is currently reviewing both applications, with consultations running until August. Burnham won't approve them on day one — jumping the gun could land the government back in court.
For UK readers, this matters directly to your energy bills and the country's climate commitments. Homegrown oil and gas can provide short-term energy security and support jobs — especially in Aberdeen, where President Trump claimed people are "dancing in the streets" at the prospect of more drilling. But the UK also has legally binding net-zero targets, and burning more fossil fuels makes those harder to reach. The tension is between keeping bills down now and avoiding worse climate costs later.
Q: What exactly is Andy Burnham's North Sea oil policy? Burnham will not issue new oil and gas licences, but will allow drilling to continue on existing licences. He describes North Sea oil and gas as an "important part of the mix" during the transition to clean energy, signalling a more pragmatic approach than a hard stop.
Q: What are the Rosebank and Jackdaw oil fields, and why are they controversial? Rosebank and Jackdaw are two large oil and gas fields in the North Sea that were approved by the previous Conservative government but are now being reconsidered after successful legal challenges. Environmental groups say the full climate impact of burning the extracted fuel was not assessed. Both are subject to ongoing consultations by the regulator Opred.
Q: How does this affect energy bills in the UK? Proponents argue that more domestic oil and gas can reduce reliance on expensive imports, potentially stabilising or lowering bills. Critics counter that it delays investment in cheaper renewables and locks in fossil fuel dependency, which carries long-term climate and economic risks.
What happens next? Opred's consultations on Rosebank and Jackdaw will close in August, after which the regulator will make recommendations. Burnham is expected to set out his broader energy strategy in his first weeks in office, confirming the "change of emphasis" Powell promised. The new prime minister has called his premiership a "circuit breaker" for Britain, but on North Sea oil, the circuit is far from clear.