Select committee: Scottish Affairs Committee

Conclusion 10

4th Report - The future of Scotland’s oil and gas industry Published 24 Oct 2025 Addressed to Scotland Office
Conclusion (the committee's words)
Given what is at stake if transition is mismanaged, we are disappointed that Unite the Union has been unable to share, as promised, its plan to create 35,000 energy transition jobs. The plan might have been a valuable and timely contribution to our inquiry and could have assisted us in developing our recommendations to the Government while it develops its own North Sea transition plan. Unite’s clear failure to supply the plan ultimately casts doubt over its existence. (Conclusion, Paragraph 83)

From: Scottish Affairs Committee, 4th Report - The future of Scotland’s oil and gas industry (HC 459), 24 October 2025

Government response

The government responded to the whole report on 16 January 2026 (deadline 24 December 2025).

Summary written by Accountability Index from the government's response. It is not the government's own words.

The government welcomes the report and says it "partially agrees" with several recommendations, pointing to its North Sea Future Plan and 2025 Budget as setting out many of the issues the Committee raised.

  • On licensing, it states that issuing new exploration and production licences "would not help our energy security", and instead introduces Transitional Energy Certificates for some production adjacent to already licensed fields, with no exploration permitted.
  • On tax, it "partially agrees" with the call to bring the successor regime in sooner: the Energy Profits Levy is to end by March 2030 at the latest, or earlier if the price floor is triggered, and a new Oil and Gas Price Mechanism will replace it.
  • It "agrees" with the recommendation on a communications campaign, saying an industry-led campaign on clean energy job opportunities is "launching next year".
  • On the Oil and Gas Transition Training Fund, it says it will extend the fund from 2026-7 to 2028-9 with up to £18 million jointly funded with the Scottish Government, but has "considerable fiscal sustainability concerns" about a hypothecated fund from oil and gas tax revenues.

Read the government's response ↗ Report an error