Andy Burnham expected to reverse ban on new oil and gas drilling: Here’s why

On Saturday, Andy Burnham is expected to unwind the government restrictions on new oil and gas drilling as he becomes Prime Minister.

This decision to grant new licenses for the key practice in the North Sea would represent a shift from Labour’s 2024 manifesto in which it guaranteed the continuation of existing permits but pledged not to issue new ones.

On Monday, Burnham will become Prime Minister, and he is expected to outline his legislative programme including plans to take water and energy companies under public control and initiate a significant council-house building programme. 

At present, he is under pressure over North Sea drilling from both the Conservatives and Reform UK who will support new oil licenses.

Burnham’s team would not comment on the proposals today but the debate primarily focuses on two sites, Rosebanks and Jackdaw-off the north-eastern coast of Scotland.

According to the Guardian, the former energy secretary Claire Coutinho acknowledged in 2023 that new licenses “wouldn't necessarily bring energy bills down”, although she clarified that they would improve the security of supply.

Nonetheless, the Green Party challenged the validity of this claim on Saturday with MP Adrian Ramsay adding that words are no substitute for actions.

“With heat waves causing deaths, wildfires and extreme weather across the country, new oil and gas drilling is exactly the wrong response and will do nothing to bring down energy bills,” he continued.