Windfall tax

grandadgolfer

MX5huggy said:

Do you sell? time to get back in.

Shell & BP have been up and down the past couple of months for various reasons Ukraine/Oil Price/Windfall etc etc nothing will change in short term so plenty of chances to take a profit/top up......IMO

grumiofoundation

tenchy said:

I'm keeping them - Shell plc (only got £1k anyway). As mentioned above, it seems like the risk of a windfall tax was taken into account a while ago.

I wonder how many people who bleat on about taxing these companies are invested in them via their pension funds? I'll answer my own question; literally millions of them.

What percentage of the pension funds of the bleaters is in those companies though? 

ranciduk

It’s not a windfall tax- it’s a temporary, targeted energy profits levy

wmb194

ranciduk said:

It’s not a windfall tax- it’s a temporary, targeted energy profits levy

That's semantics.

ranciduk

wmb194 said:

ranciduk said:

It’s not a windfall tax- it’s a temporary, targeted energy profits levy

That's semantics.

No its the tories stealing Labour policy and renaming it instead of admitting they’ve made yet another u-turn 

Aretnap

ranciduk said:

It’s not a windfall tax- it’s a temporary, targeted energy profits levy

Better still, call it I Can't Believe It's Not A Windfall Tax. 

sevenhills

ranciduk said

No its the tories stealing Labour policy and renaming it instead of admitting they’ve made yet another u-turn 

I terms of the economy, Labour and the Tories are the same, with very similar goals and advisors.

Uxb1

Thrugelmir said:

The windfall tax is likely to impact a larger number of companies. Be unfair to target two listed UK companies that make the majority of their profit overseas. Labour makes no mention of targetting overseas companies operating in the UK.  Doesn't have the same media headline grabbing appeal. 

As you say it wont really affect the likes of Shell and BP making most of their profits from overseas as it not a tax on all their global profits, for good reason as such a wide ranging tax would simply cause them to leave the UK for somewhere like Brazil.
So it will mostly affect the smaller UK only specialist companies busy extracting the last dregs out of of wells in the UK - something that such companies are good at...but which they might now considered to be non-viable business, albeit with tax breaks improved for investment in the announcement.  Add in that the tax does not seem to be a one off but a continuing one so its not really a one off windfall.

So the overall long term effect will probably be less investment in the UK's extraction business and making us even more reliant on overseas supplies for our oil and gas leading to ever higher prices in the future ..but hey who cares about next 5-10 years.

Malthusian

ranciduk said:

No its the tories stealing Labour policy and renaming it instead of admitting they’ve made yet another u-turn

Almost every single policy ever enacted is a U-turn. Declaring war on Germany in 1939 was a U-turn from the policy of appeasement. Sanctioning Russia for invading Ukraine was a U-turn, ditto. Legalising homosexuality was a U-turn from the policy that homosexuality was immoral. The Magna Carta was a U-turn from the policy that the Sovereign had a divine right to rule.

Purely out of interest, do you think Labour's policy (as stolen by the Tories) is a good thing or not? Either it's a good thing in which the Tories should be praised for coming to their senses and implementing it, or it's a bad thing in which case both Labour and the Tories should be castigated for their stupid idea and for threatening future energy security for a one-off cash grab.

Albermarle

sevenhills said:

ranciduk said

No its the tories stealing Labour policy and renaming it instead of admitting they’ve made yet another u-turn 

I terms of the economy, Labour and the Tories are the same, with very similar goals and advisors.

Or you could say, they start off with different ideas, manifestos, ideology etc but when faced with reality, they will tend in the end to act in broadly similar centrist way ( ignoring Brexit which was a one off) 

So the overall long term effect will probably be less investment in the UK's extraction business and making us even more reliant on overseas supplies for our oil and gas leading to ever higher prices in the future ..but hey who cares about next 5-10 years.

The price of oil and gas is set by global supply and demand. Whether the UK pumps a few more million barrels or not, will not make any difference to the price. It will only mean we have to buy less from other sources we do not really want to rely on too much . So it is about security of supply, not price.