Wednesday, April 29, 2026

North Sea jobs decline by 4,000 in first year of Labour government

April 29, 2026
1 min read
North Sea jobs decline by 4,000 in first year of Labour government

North Sea jobs decline as Labour advances green energy agenda

Thousands of North Sea-linked jobs have vanished in Labour’s first full year in power as Ed Miliband pushes ahead with a transition away from oil and gas, reports BritPanorama.

Official figures indicate that approximately 2,000 roles in oil and gas extraction and another 2,000 in refining have been lost between December 2024 and December 2025. The Office for National Statistics (ONS) data, revealed in a Parliamentary answer to peers, shows extraction jobs decreased from 12,000 to 10,000, while refining dropped from 10,000 to 8,000 during the same period.

This information encompasses the UK workforce in oil and gas extraction, which also includes a small number of coal positions and refining. In contrast, the wider chemicals sector has seen an increase in employment, rising from 97,000 to 99,000 jobs.

These findings come as the Energy Secretary insists that Britain must accelerate its shift toward clean energy. Miliband emphasized the urgent need to innovate and adapt in line with changing environmental priorities.

However, decisions regarding major North Sea projects like Rosebank and Jackdaw remain delayed, even amid rising pressure from both industry stakeholders and MPs. Labour MP Henry Tufnell expressed concerns about the impact on British industry, stating, “We cannot continue to hollow out British industry. We are putting communities at risk of poverty and undermining our national security.”

Tufnell advocated for a shift in energy policy to ensure the global competitiveness of British industry and the jobs that depend on it. Industry leaders argue that the official figures only capture a limited aspect of the employment landscape. Ben Ward of Offshore Energies UK suggested that the ONS data presents a “limited slice” of employment as it excludes contractors and a significant portion of the supply chain.

Ward noted, “OEUK’s figures are much higher… we calculate the sector has been losing up to 1,000 jobs a month on average — mostly in the energy supply chain where most jobs sit.” Meanwhile, Shadow Energy Secretary Claire Coutinho criticized the official data, claiming it is a “scandalous underestimation” of the damage caused by the current government’s policies. She called for the abolition of the Carbon Tax and argued for measures to lower energy costs for businesses to reignite drilling activity.

As the UK navigates the complexities of its energy transition, the challenge remains to balance environmental goals with the safeguarding of vital employment in traditional energy sectors.

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