Written Statements
(1 day, 7 hours ago)
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Oil and Gas Decommissioning Relief Deeds
(1 day, 7 hours ago)
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The Exchequer Secretary to the Treasury (Dan Tomlinson)
The Government’s fiscal approach for oil and gas aims to balance supporting investment and growth with ensuring a fair return for the nation in exchange for the use of its resources.
At Budget 2013, the Government announced they would begin signing decommissioning relief deeds. These deeds represented a new contractual approach to provide oil and gas companies with certainty on the level of tax relief they will receive on future decommissioning costs.
Since October 2013, the Government have entered into 110 decommissioning relief deeds. Offshore Energies UK estimates that these deeds have so far unlocked approximately £13.5 billion of capital, which can now be invested elsewhere.
The Government committed to report to Parliament annually on progress with the decommissioning relief deeds. The report for financial year 2024-25 is provided below.
Number of decommissioning relief agreements entered into: the Government entered into one decommissioning relief agreement in 2024-25.
Total number of decommissioning relief agreements in force at the end of the 2024-25 financial year: 109 decommissioning relief agreements were in force at the end of the financial year. We have entered into one more agreement since the end of the 2024-25 financial year, but this is out of scope of the report.
Number of payments made under any decommissioning relief agreements during that year, and the amount of each payment: five payments were made under a decommissioning relief agreement in 2024-25, for £9.55 million in total. These were made in relation to the provisions recognised by HM Treasury from 2015 onwards as a result of companies defaulting on their decommissioning obligations.
Total number of payments that have been made under any decommissioning relief agreements as at the end of that year, and the total amount of those payments: 24 payments have been made under any decommissioning relief agreement as at the end of the 2024-25 financial year, totalling around £355 million.
Estimate of the maximum amount liable to be paid under any decommissioning relief agreements: the Government have not made any changes to the tax regime that would generate a liability to be paid under any decommissioning relief agreements. HM Treasury’s 2025-26 accounts will recognise a provision currently estimated to be £133 million in respect of decommissioning expenditure incurred as a result of companies defaulting on their decommissioning obligations [1]. The majority of this is currently expected to be realised over the next five years.
[1] This figure which is an estimate at the last interim reporting period is unaudited and takes into account payments made subsequent to the financial year covered by this written ministerial statement. The estimate is under review and subject to audit ahead of the year end reporting period and may be updated to reflect newer information or changes required by accounting standards.
[HCWS1534]
Stamp Duty Land Tax: Periodic Tenancies
(1 day, 7 hours ago)
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The Exchequer Secretary to the Treasury (Dan Tomlinson)
Tenant wellbeing is central to the Government’s recent Renters’ Rights Act 2025, which will deliver on our manifesto commitment to transform the experience of private renting and give renters much greater security and stability so that they can stay in their homes for longer.
The Act will improve the current system for both the 11 million private renters and the 2.3 million landlords in England. It will give renters much greater security and stability so that they can stay in their homes for longer, build lives in their communities, and avoid the risk of homelessness.
The Government are today setting out our intention to ensure that no one is newly brought into stamp duty land tax as a result of the changes in the Renters’ Rights Act.
Although most people understand how SDLT applies when related to the change of ownership of a property, it is also charged on some rents when their net present value exceeds £125,000. In practice, the vast majority of private tenants do not reach the SDLT threshold of £125,000 and so do not pay SDLT on their rent. This is because assured shorthold tenancies, which make up the majority of private tenancies, are likely to renew regularly, so the net present value of the rent is calculated over a relatively short duration.
From 1 May 2026, the Renters’ Rights Act will abolish fixed-term assured shorthold tenancies. Instead, all tenancies will be periodic, with tenants able to stay in their home until they decide to end the tenancy by giving two months’ notice. This will end the injustice of tenants being trapped paying rent for substandard properties and offer more flexibility to both parties to respond to changing circumstances.
Following this change, the net present value of rent under a continuing lease will be calculated assuming a lease that continues indefinitely. This means the net present value of the rent could increase and exceed the £125,000 threshold at which SDLT becomes payable, even though the underlying tenancy arrangements have not substantively changed.
The Government intend to legislate in the 2026-27 Finance Bill so that any residential lease that will be considered an assured tenancy under the Housing Act 1988, as amended by the Renters’ Rights Act, will not give rise to a SDLT charge on the rent element. The Government will set out the detail of this legislation at or before this year’s Budget.
The legislation will apply retrospectively from the date on which existing tenancies become section 4A assured tenancies—as defined in section 146 of the Renters’ Rights Act), which is expected to be on 1 May 2026.
HM Revenue and Customs will not collect any SDLT on the rent element of an assured tenancy from that date until the date the legislation takes overriding effect.
This measure ensures that tenants and landlords are not adversely affected by technical interactions between the Renters Rights Act and SDLT legislation, and reflects the Government’s commitment to the smooth and fair implementation of reforms to the private rented sector.
[HCWS1535]
Ofgem Review: Final Report
(1 day, 7 hours ago)
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The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Martin McCluskey)
Today I am publishing the Government’s final report of the review of Ofgem, the energy regulator for Great Britain. This review delivers on our commitment to ensure that consumers remain well protected from bad practice and that Ofgem is equipped to regulate a rapidly changing energy system. The current situation in the middle east has once again highlighted the need to protect consumers, particularly during times of volatility, and Ofgem’s ability to respond in times of crisis. The review has examined whether Ofgem’s remit, duties and capabilities remain fit for purpose in an energy landscape shaped by rising demand for clean power, new technologies, and the need for greater resilience and fairness for households and businesses.
In particular, I am pleased to highlight that we will equip Ofgem with stronger powers to take action where needed and to deter bad practice across the sector. The review will also bring enhanced protection for energy consumers, not only by reinforcing its commitment to the protection of consumer interests, but by granting it a stronger mandate to support delivery of clean home-grown power and support investment and growth in the UK.
The review gathered extensive evidence, including over 20,000 responses to the public call for evidence, alongside detailed engagement with consumer groups, suppliers, networks, generators and investors. In addition, the review drew upon the knowledge of an advisory panel comprised of specialists appointed in their individual capacity to ensure independence and diversity of thought, bringing a wide range of experience and perspectives to challenge and guide the review.
The conclusions are clear: Ofgem plays an essential role in our energy system and its statutory duties, regulatory boundaries, and organisational capabilities must be modernised to meet the challenges now, and in the years ahead.
The review also considered Ofgem’s role across the energy system as a whole, recognising the significant interdependencies between generation, networks, system operation, retail markets and emerging flexibility services. Stakeholders highlighted that the energy system is evolving rapidly with decentralised generation, electrification, digitalisation and new business models reshaping how power is produced, transported and consumed, but regulatory frameworks have not consistently kept pace. Evidence indicated that Ofgem must be equipped to oversee the system in a more coherent, end-to-end way, ensuring that decisions taken in one part of the system do not create unintended consequences elsewhere. This includes ensuring efficient network investment, enabling integration of low-carbon technologies, and supporting the development of retail and flexibility markets that deliver genuine consumer value.
To address these challenges, the Government will strengthen Ofgem’s system-wide mandate and capabilities so that it can take whole-system, forward-looking decisions that reflect the interactions between different segments of the value chain. This will help Ofgem to anticipate pressures, drive innovation and competition, and support a more dynamic, efficient and consumer-centric energy system. By ensuring that Ofgem can regulate the energy system as an integrated whole, these reforms will promote efficient investment, enable the scaling of new technologies, and ensure that consumers benefit from a system that is resilient, fair and aligned with the UK’s long-term energy security and net zero commitments. The Government are therefore bringing forward a package of reforms to strengthen Ofgem’s mandate, improve regulatory clarity and reduce duplication, and ensure that the regulator can act more proactively in the interests of consumers. Key measures include:
Strengthening enforcement and redress mechanisms so that Ofgem can act quickly and decisively when consumers face harm, including stronger powers to address poor service and hold senior energy company leaders to account.
Modernising Ofgem’s statutory duties, streamlining them into three clear pillars of consumer protection, economic growth and delivery of net zero. This will ensure that Ofgem can take clearer, more strategic decisions that directly benefit households and support long-term national priorities. Establishing an Ofgem-specific strategy and policy statement, providing clarity on the Government’s strategic expectations while preserving Ofgem’s operational independence.
Boosting Ofgem’s organisational capability, including digital, technical, financial and analytical expertise, to enable a more agile, confident and evidence-driven regulator.
Introducing new transparency and accountability requirements, including regular public progress updates and a five-yearly independent review of Ofgem’s performance.
These reforms will create a regulator that not only protects consumers but supports an energy sector that can innovate, invest and improve the customer experience. They will help build a more resilient, fair and modem energy system as we accelerate towards clean power and strengthen the UK’s energy security.
A copy of the Ofgem review final report will be placed in the Libraries of both Houses. The Government will now work closely with Ofgem, industry and consumer groups to take forward the implementation of these reforms.
[HCWS1533]
Northern Ireland Troubles Bill
(1 day, 7 hours ago)
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The Secretary of State for Northern Ireland (Hilary Benn)
I wish to update the House on the Northern Ireland Troubles Bill and the Government’s commitment to put in place legislation to address the legacy of that terrible period in our history.
In the 28 years since the Good Friday agreement, there have been numerous unsuccessful efforts, in London and in Belfast, to deliver on this crucial but still unrealised aim of the agreement. Victims of terrorist violence across the United Kingdom, families of many of those who were killed, former members of our security services—and many more—have been affected by this collective failure. So the troubles Bill, and the reformed legacy commission it will create, must be capable of commanding the confidence of all communities while enabling answers to be found for those who seek them. This final chance to get legacy right has fallen to us, in this Parliament, and we will deliver it.
Since its introduction in October 2025, the troubles Bill has been welcomed by a significant number of victims, families and representative groups. Many recognise that, while not providing everything they may have sought, the Bill will enable families’ cases to be taken forward sensitively, efficiently and lawfully. The prospect that the Bill will enable information sharing by the Irish authorities with the legacy commission, as a result of the framework agreement reached with the Irish Government, is a major step forward. And the fact that, unlike the false promise of the Northern Ireland Troubles (Legacy and Reconciliation) Act 2023, the troubles Bill does not offer immunity including for those who committed heinous acts of terrorism, and will be compliant with our Human Rights obligations, has been welcomed by all the main Northern Ireland political parties and indeed by many Operation Banner veterans.
The new safeguards the Bill will put in place for veterans and other former service personnel have also been broadly welcomed. It has been clear, however, that we must do more through the legislation to safeguard our veterans community. It is vital that those who served the state, to whom we owe so much and to whom we have a particular duty of care, are able to have confidence in the legislation.
In recent months I, along with the Prime Minister, the Defence Secretary, the Attorney General and the Armed Forces Minister, have been consulting widely on the legislation, including with veterans, on potential improvements that might be made. I have also considered the many amendments that have been tabled from across the House, and the important recommendations of the Northern Ireland Affairs Committee and others.
The result of these deliberations is that the Government will bring forward a substantial package of amendments designed to improve the process for victims and families, further safeguard our Operation Banner veterans and ensure oversight of their protections, and clearly differentiate between the role played during the troubles by our brave security forces and the actions of paramilitary terrorists. These amendments will be tabled for consideration in Committee.
Taken together with the large number of amendments already tabled by MPs and the strength of feelings on all sides of the House on these issues, it is important that there is sufficient time for scrutiny. Owing to the time it has taken to ensure we get the amendments right, and the clear need for the House to have longer to scrutinise them, the Bill will now return to the House early in the next session.
[HCWS1536]