Britain adjusts windfall tax to protect energy sector
The British Exchequer unveiled a new mechanism on Friday to ensure the country's energy sector stability under the windfall tax, with the goal of bolstering investment in new and existing projects.
Additionally, new changes to the Energy Profits Levy also aim to secure affordable and reliable domestic energy supply and protect the approximately 215,000 jobs supported by the industry in Britain. The government explained that in case that gas and oil prices stabilize at "historically normal levels," or £0.54 per therm and $71.40 per barrel respectively for two consecutive quarters, the tax rate for companies in the energy sector will return to 40%.
"Thanks to the revenue raised from windfall taxes on energy profits, we have helped save the typical household over £1,300 on their energy bill last winter," Exchequer Secretary to the Treasury Gareth Davies said.