Executive summary
On 26 May 2022, the United Kingdom (UK) Chancellor, Rishi Sunak, delivered a statement to the House of Commons setting out the measures the Government will take to address the UK’s cost of living crisis.
The Chancellor announced a new 25% energy profits levy that will apply from 26 May 2022 and will be charged on the extraordinary profits that oil and gas companies are currently making. The tax will be temporary, and, once oil and gas prices return to historically normal l…