Rishi Sunak and Jeremy Hunt are preparing to raise the windfall tax on oil and gas company profits to generate an additional £40bn for Treasury over five years, according to reports.
The prime minister and chancellor are scrambling to find ways to plug a potential £50bn-a-year black hole in the public purse before Mr Hunt’s 17 November autumn statement.
With energy firms declaring huge profits for the last quarter – BP doubled to more than £7.1bn, Shell more than doubled to £8.2bn – pressure has been mounting for an enhanced windfall tax to help fill the Treasury coffers.
