Middle East: Economic Update

Lord Livingston of Parkhead Excerpts

Thursday 26th March 2026 Lords Chamber

[Lord Livermore (Lab)]

No, but I am certain that it will lead to lower food prices, just as I am certain that the Brexit that the noble Lord championed has led to all manner of difficulties for consumers, households and businesses. I am sorry that he is still unable to concede that very important point. As I have said before, at a time of global instability, getting closer to and building a deeper economic relationship with our closest partners is in our national, security and economic interest.

[Lord Livingston of Parkhead (Non-Afl)]

My Lords, in coming back to the comment on oil and gas made by the noble Baroness, Lady Neville-Rolfe, the growth of green energy and the growth of oil and gas are often described as somehow at odds with each other. It is quite clear that we need both for our energy security. We should grow our green energy while oil and gas remain transitional fuels. Therefore, as Norway is doing, the UK should grow its energy and gas supplies so that we can support our tax base and improve our energy security. It may not affect prices, but it is an important role that the UK can play not just for itself but for other countries, and it is not at odds with the energy transformation.

[Lord Livermore (Lab)]

I agree with every word that the noble Lord said. We will ensure that North Sea oil and gas play an important role in our economy for years to come. Last week, the Chancellor met with North Sea industry leaders to discuss their role in jobs, investment, growth and energy supply. As the noble Lord and I have said, and I agree with him, we are investing in renewables at the same time. We are lifting the ban on onshore wind and streamlining grid connections. We ran the biggest ever floating offshore wind auction last year and have brought forward the next renewables auction to this July, and we are driving forward negotiations on the UK’s participation in the EU internal electricity market.