Harbour Energy will start cutting approximately 100 jobs in offshore jobs in the North Sea. This decision is part of a new stage of reorganization that the company believes is necessary to maintain its competitiveness in the face of a challenging scenario for the oil and gas sector in the United Kingdom.
Reduction of offshore jobs and fiscal context
The move comes at a time when business is facing a less favorable investment and production environment. The maintenance of the windfall profits tax (known as the Energy Profits Levy or EPL), announced in the UK government’s recent budget, has generated concern among companies in the sector.
This tax charge, introduced in 2022 and extended to 2030, seeks to tax the windfall profits of energy companies, but has been criticized for its negative impact on employment and economic activity in the North Sea.
Cumulative labor impact since 2023
From 2023, Harbour Energy has reduced its onshore workforce by approximately 600 people. With this new adjustment, the company seeks to align its staffing structure with current levels of investment and extraction. The consultation process with affected employees is already underway and is expected to conclude in the first quarter of 2026.
Scott Barr, managing director of Harbour Energy in the UK, stressed that this decision was driven by an increasingly complex operating environment, with sustained commodity price pressures and a tax regime that he considers uncompetitive.
Reactions from government and industry
A British government spokesman stated that everything possible will be done to support the affected workers and communities. For its part, the Aberdeen Chamber of Commerce pointed out that these consequences were foreseeable and that it had repeatedly warned about the effects of an excessive tax burden on the sector.
The government has defended the continuation of PLA as part of a strategy to sustain the energy transition in the North Sea, but faces growing criticism over its impact on employment and industry competitiveness.
A complex transition for workers
Harbour Energy stated that it will maintain its commitment to operational safety and regulatory standards throughout the process. It also pledged to provide support to affected employees over the coming months.
The current adjustment marks a new chapter in the transformation of the offshore industry, which faces the challenge of adapting to a new economic and regulatory reality.
Source: BBC
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