Andy Burnham to Unveil North Sea Drilling Plans Amid Controversy

New Delhi, India Jul 18, 2026 ALN: Andy Burnham will announce plans for new oil and gas drilling in the North Sea when he becomes prime minister on Monday, the BBC has been told.

The Labour Party's 2024 manifesto - which the new leader said he would follow - had pledged to not issue new licences but to honour existing ones. This pledge has been a focal point of the party's environmental policy, reflecting a commitment to transition towards renewable energy sources while recognizing the economic realities of the current energy landscape.

At the heart of the debate are two oil and gas fields in Scotland - Rosebank and Jackdaw - which regulators approved in 2022 and 2023 under the then Conservative government, but were overturned in 2025 after a legal challenge. These fields have become emblematic of the broader conflict between energy security and climate change mitigation, as they represent both potential economic benefits and significant environmental risks.

The announcement will form part of a flurry of measures from Burnham, including plans to take water and energy companies under public control and a new council house-building programme. This suggests a broader agenda aimed at addressing economic inequality and public service reform, which Burnham has identified as priorities during his leadership campaign.

He is also expected to outline new measures that will give "people breathing space on the cost of living" and intends to make a "dynamic start... focused on delivering tangible change to people's lives as soon as possible". This approach indicates a recognition of the pressing economic challenges facing many households, particularly in light of rising energy prices and inflation.

While details of the oil and gas plans are not clear, the incoming prime minister is expected to uphold the manifesto commitment. One source said Burnham might pitch this as a significant change of direction but said any overt support for completely new licences is not on the cards. The delicate balance between economic development and environmental responsibility will likely shape the discourse around his administration's energy policy.

The ongoing legal processes around Rosebank and Jackdaw mean Burnham will also not be able to explicitly announce their approval, but he will likely nod to it in his first speech as prime minister on Monday. This decision will instead effectively fall to the new, unannounced energy secretary. Such dynamics illustrate the complexities of governance, where legal and political considerations often intersect.

But the Labour leader could pledge to speed up existing plans to drill more in the North Sea. Many oil and gas licences already approved in recent years remain largely undeveloped due to a variety of reasons, including regulatory hurdles and environmental assessments. This situation has led to calls from various stakeholders, including industry representatives and local communities, for a more streamlined approval process to harness the potential economic benefits of these resources.

Sir Keir Starmer had said these gas and oil fields could be further explored, but some in the Labour Party have been frustrated that it has not happened more quickly. This internal dissent highlights a rift within the party regarding the best path forward in energy policy, particularly as the nation grapples with its climate commitments.

The North Sea row has been longstanding, and Sir Keir has faced criticism for his opposition to new drilling licences. He argued that new licences did not translate into cheaper bills for consumers and said it was more important to transition to renewable sources for secure energy supplies in the future. This perspective aligns with broader global trends advocating for a shift away from fossil fuels in response to climate change.

The Conservatives and Reform UK pressured the outgoing prime minister to approve more drilling and said it is "reckless" that the country is not making use of its own resources at a time when the Iran war has increased energy prices. This argument underscores the tension between energy independence and environmental stewardship, as geopolitical events continue to influence domestic energy policy.

Sir Keir's approach was also disparaged by US President Donald Trump who has made repeated calls to "open North Sea oil" and said in a social media post prior to the prime minister's resignation that he had "failed badly" on energy policy. Trump's comments reflect a broader international dialogue on energy production, with some leaders advocating for increased fossil fuel extraction as a means to enhance energy security.

From within his own party, Sir Keir saw the debate become increasingly divisive as Labour figures questioned the party's future direction over energy policy. Some Labour MPs have urged the government to take a more liberal approach, warning that the transition away from oil and gas must protect jobs and the cost of energy bills. This concern speaks to the potential economic ramifications of a rapid shift away from fossil fuels, particularly in regions heavily reliant on the oil and gas sector.

But others have backed the government's existing approach, arguing that expanding renewable energy is key to improving energy security and reducing the impact on climate change. This faction emphasizes the importance of investing in sustainable technologies as a means to create jobs and drive economic growth in the long term.

Current Energy Secretary Ed Miliband - who is likely to get a senior cabinet role under Burnham - has been a staunch supporter of Labour's manifesto position, and previously described the licence issued to Rosebank as "climate vandalism". His strong stance on environmental issues may influence the direction of the new government's energy policy, particularly as climate change remains a pressing global issue.

Responding to the plans, backbench Labour MP Rachel Maskell said she felt uneasy about more North Sea drilling and said at a time when the UK was experiencing heatwaves and wildfires it was more important than ever to "follow the climate science because we have got a climate emergency". This sentiment is echoed by many environmental activists and organizations who argue that continued investment in fossil fuels is incompatible with the urgent need to address climate change.

"The climate science is really clear we cannot continue to use carbon-based fuels," she added. This statement reflects a growing consensus among scientists and policymakers about the need to drastically reduce carbon emissions to mitigate the worst impacts of climate change.

Earlier this week, before the leadership nominations deadline, Burnham was issued with a letter from the oil and gas industry and trade unions calling on him - and all other Labour MPs - to "back North Sea oil and gas". This letter underscores the significant economic interests at play, as the oil and gas sector remains a critical component of the UK's economy and employment landscape.

It stated that support for the oil and gas industry is "a signal that the country remains committed to producing, building and manufacturing. It is a signal that government backs the people and places that have powered this country for generations," the letter added. This assertion highlights the social and economic dimensions of energy policy, particularly in regions where the oil and gas industry is a major employer.

But the suggestion of new plans has already drawn criticism from the Green Party, with MP Adrian Ramsay calling approval of new drilling "the wrong response" and "will do nothing to bring down bills". This critique reflects a broader skepticism about the efficacy of fossil fuel extraction as a means to address energy costs, particularly in the context of rising global energy prices.

"Andy Burnham says he takes the climate and nature crises seriously, but words are no substitute for action," he said. This comment underscores the frustration felt by many environmental advocates who believe that political leaders must take decisive action to address climate change rather than merely offering rhetoric.

"The science is clear: if we are serious about limiting climate breakdown, we cannot keep opening up new fossil fuel projects," he added. This perspective is increasingly prevalent among scientists and activists who argue that the continuation of fossil fuel projects undermines efforts to achieve climate targets.

Burnham, who returned to Parliament a month ago in a by-election, emerged as the sole leadership candidate after being backed by 379 Labour MPs, as well as all 11 trade unions affiliated to the party, earlier this week. His ascension to leadership comes at a critical juncture for the Labour Party, as it seeks to navigate the complexities of energy policy while appealing to a diverse electorate with varying priorities.

The new Labour leader has said he is finalising his cabinet before he takes over from Sir Keir. This transition period is crucial, as the composition of Burnham's cabinet will likely shape the direction of his administration's policies and priorities.

There has been growing speculation over who will take the top jobs around Burnham, with Miliband and Shabana Mahmood thought to be in the running to replace Rachel Reeves as chancellor. The selection of key cabinet members will be closely scrutinized, as their views on energy policy will play a significant role in shaping the government's approach moving forward.

Asked why he had not announced his top team, the new Labour leader said on Friday: "It would be somewhat premature and would, I think, cause complete chaos if you start half a reshuffle before you're in the position." This comment reflects the pragmatic approach that Burnham appears to be taking as he prepares to assume leadership, emphasizing the importance of a cohesive and well-planned transition.

Earlier that day, in his first speech since receiving the party backing, Burnham promised he has "a plan" and vowed to "bring back hope" under his leadership. This optimistic framing suggests that Burnham is eager to present a vision for the future that resonates with both party members and the broader electorate.

The address also offered the first glimpse of Burnham's policy agenda - which is said to include new council homes, reinvigorated high streets and improvements to education. These initiatives are part of a broader strategy to address social and economic disparities while fostering community development.

The former mayor of Greater Manchester has also previously outlined his vision for reforms to social care, greater public control of water and energy firms and the devolution of power away from Whitehall. This commitment to decentralization and public ownership reflects a growing sentiment among many voters who are seeking more accountability and responsiveness from their government.