Energy Policy · United Kingdom

UK Prime Minister Weighs North Sea Oil Projects Amid Climate Concerns

New UK Prime Minister Andy Burnham faces a critical decision on the future of North Sea oil and gas projects, balancing energy security with climate commitments.

News AutomationCompiled 05:06 UTC · 1 min read

An offshore oil rig stands in the North Sea, symbolizing the ongoing debate over fossil fuel development.

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The Battle Over North Sea Oil Is Heating Up Under Britain’s New PM

By Felicity Bradstock - Aug 15, 2026, 2:00 PM CDT

Burnham has signalled a pragmatic approach to North Sea oil and gas, raising expectations that his government could permit some previously approved projects to proceed.
Jackdaw and Rosebank are politically sensitive because their previous development consents were ruled unlawful after failing to account properly for downstream emissions.
Allowing either project to proceed could provoke opposition within Labour, while supporters argue domestic production would reduce reliance on imported energy.

Offshore oil rig in the distance

With a new Prime Minister in office, it is uncertain whether the United Kingdom will continue accelerating its green transition or backtrack on climate pledges to support fossil fuel development. Many have speculated that the new Labour Party PM Andy Burnham will back North Sea oil and gas projects. However, since taking power in 2024, the Labour Party has introduced a wide range of energy policies supporting renewable energy development and grid infrastructure updates, as well as restrictions on new oil and gas drilling.

Before taking over as PM, energy experts speculated that Burnham would likely approve drilling projects at the Jackdaw gas field and Rosebank oil field off the coast of Scotland, alongside an expansion of ‘tie-backs’ which allow further drilling near existing fields. Jackdaw and Rosebank are in legal limbo because approvals from the previous Conservative government were overturned by the court, which ruled the consents were illegal. However, Burnham is expected to wait for public consultations on the projects to conclude before making a formal decision.

In recent weeks, the U.K. has faced drought, fires, and heatwaves due to climate change, which were exacerbated by ongoing fossil fuel extraction, according to recent reports. With the public growing increasingly concerned about extreme climate change-driven weather conditions, Andy Burnham was warned he may face the first revolt of his leadership if he supports new oil and gas drilling.

In late July, Burnham indicated that he would likely support drilling, saying he would be “pragmatic” about oil and gas. This came just hours ahead of a speech by the UN secretary-general António Guterres in which he warned “every new fossil fuel project” made heatwaves more dangerous.

The Labour Party is facing competition from both sides of the political spectrum at present, with growing concerns about the increasing popularity of Zack Polanski’s Green Party. The Greens have voiced their staunch opposition to new oil and gas licences for the North Sea, while stressing the importance of a green transition.

Rachael Maskell, the Labour MP for York Central, encouraged ministers to “keep carbon in the ground”, and watch the recent national emergency climate briefing. Maskell stated, “We’re seeing ice caps melting, seas warming up, hotter and hotter summers. This summer has been a warning that we have to go towards a sustainable future fast.”

As many continue to speculate about what is in store for U.K. energy, Andy Burnham has remained silent about the climate crisis since taking office. However, he has appointed Miatta Fahnbulleh, who has a strong track record of climate activism, as Secretary of State for Energy Security and Net Zero. Meanwhile, Labour’s 2024 manifesto ruled out new licences for North Sea exploration, although it stated that existing ones would not be revoked. The ruling that Jackdaw and Rosebank are illegal has called into question whether the project approvals would be classed as new or old.

Insiders have suggested that Burnham might deliver a compromise based on the public consultations, with Jackdaw’s gas project potentially going ahead. The U.K. remains heavily dependent on gas for heating and electricity generation, with many continuing to view it as a “transition fuel”. As extracting gas is less carbon-intensive than oil, it could be seen as less harmful to the environment – although the approval of any new fossil fuel operations has been widely criticised by the International Energy Agency.

The Guardian’s environment editor, Fiona Harvey, explained, “Allowing it to go ahead is far less harmful than Rosebank… And Jackdaw is a tieback, so can be connected to existing infrastructure. “It could therefore come online quicker.”

The oil major BP, which has recently backtracked on many of its green pledges and sold off its North Sea assets, continues to be staunchly in favour of oil and gas expansion. The company’s CEO, Meg O’Neill, told Burnham that as the U.K, continues to get 75 per cent of its energy from fossil fuels, it is important that “the first barrel of oil we consume and molecule of natural gas we need should be coming from the UK North Sea.”

However, environmentalists and climate scientists continue to oppose new oil and gas development, suggesting that investment could be better spent on a green transition that will diversify Britain’s energy mix and boost long-term energy security. Moreover, approving Jackdaw and Rosebank will likely not drive down consumer prices or create a significant number of new jobs.

The UK Energy Research Centre wrote in a recent assessment, “Assertions that drilling the North Sea will provide energy resilience and affordability in the face of current fuel price shocks are a delusion.” Jackdaw is expected to create just 27 direct full-time jobs. Meanwhile, with the U.K.’s energy reserves rapidly depleting, new oil and gas drilling is not expected to support the country’s long-term energy security.

Therefore, if Burnham decides to back new fossil fuel projects, he risks facing a revolt within the Labour Party and staunch opposition from environmentalists, while failing to provide a significant number of new oil and gas jobs or tackle rising energy prices.

By Felicity Bradstock for Oilprice.com

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Felicity Bradstock

Felicity Bradstock is a writer and journalist based in Mexico City. She writes for energy websites and covers several other industries, as well as writing…

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