Cabinet Ministers Urge More North Sea Oil Licenses

GB News reported today that a number of cabinet ministers have challenged Keir Starmer over the limited number of new licences for North Sea oil drilling. The ministers stated that the current approach sends the wrong signal and makes it appear the government is indifferent to energy prices.

They pointed to polling data indicating that most Labour voters and the wider public place higher priority on affordable energy than on net-zero policies.

Rees-Mogg argued that extracting additional North Sea oil and gas would generate domestic revenue and employment regardless of global price movements. He noted that extra supply tends to reduce prices at the margin, citing the 2020 episode when excess supply and reduced demand drove oil prices negative.

Rees-Mogg added that domestic production improves security of supply and avoids the emissions created by liquefying and shipping gas from distant suppliers.

The report stated that some commentary has questioned Ed Miliband's standing within the party after he advised Starmer against expanding drilling licences. Rees-Mogg concluded that Tony Blair's position on the issue aligns with maximising domestic resources, while Miliband's stance does not, leaving Starmer between the two positions.