HUMZA Yousaf has pledged to oppose Sir Keir Starmer’s “aggressive” tax plans, which are risking up to 100,000 jobs in the industry.
Labour’s new Green Prosperity Plan proposes an increase of 3% to the current windfall tax on oil and gas companies from 75% to 78%, as well as removing investment allowances.
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However, opposition politicians have been quick to criticise Mr Yousaf’s speech. Labour’s shadow Scottish secretary Ian Murray described it as “incoherent and out of touch”, while Scottish Conservative leader Douglas Ross accused the first minister of “masquerading as a friend of the industry”.
Addressing a room of stakeholders and local party members, Mr Yousaf said his party will not support the plans “designed solely to plug the massive financial hole in plans to build new nuclear power plants in England.”
He said: “The SNP will not let the North-east go the way our coal and mining towns went under Thatcher, and that is what Labour is threatening to do.
“I know for many here in the North East and across Scotland, that is rightly a source of real anger.
“That anger reached new levels last week when Labour announced their plans to raid the North-east energy industry – risking 100,000 jobs in the sector – all the while dumping their plans to help fund a just transition.
“Let us be clear here today, there is no justice in a transition that throws workers of the North-east on the scrapheap. The SNP will not let the North-east go the way our coal and mining towns went under Thatcher, and that is what Labour is threatening to do.
“You cannot deliver a just transition from oil and gas – for the people and businesses that rely on it – if you squeeze the life out of the sector overnight.
“That is why the SNP will oppose Labour’s aggressive tax plans for the sector. A policy designed solely to plug the massive financial hole in plans to build new nuclear power plants in England.
“Don’t get me wrong, we support a windfall tax but Labour’s plans to increase this to pay for nuclear energy power plants in England, is plain wrong and will cost tens of thousands of jobs.
“Once again the workers of the North East are being asked to pay the price because of Westminster’s economic and energy mismanagement. As ever, when Westminster parties needs to find cash – they look to Scotland.”
Opposition politicians across the spectrum have been quick to fire back at the first minister.
Douglas Ross isn’t buying into Mr Yousaf’s warm words on the industry. He said: “Humza Yousaf is displaying breathtaking hypocrisy masquerading as a friend of Scotland’s oil and gas industry when he and the SNP have abandoned it at every opportunity.
“The SNP have a long-standing ‘presumption against’ policy on all new oil and gas licences, they oppose Rosebank, they were the first party to call for a windfall tax and it’s only a few months since Humza Yousaf was proclaiming the end of the industry in a speech in New York.”
Continuing on social media site X, he added: “Humza Yousaf’s speech today showed that you can barely fit a cigarette paper between Labour and the SNP when it comes to our oil and gas sector.
But Labour’s shadow Scotland secretary Ian Murray criticised the first minister for taking the position he did, adding: “Humza Yousaf’s latest position on Labour’s plans is completely incoherent and out of touch.
“Last year energy giants recorded profits of £33 billion while a third of households in Scotland were living in fuel poverty – but after a dizzying series of U-turns, it seems the SNP has decided to side with the energy giants.”
