Ed Miliband staring down Labour rebellion on North Sea oil as energy prices soar

Marcus Donaldson
Sun, 05 Apr 2026 07:49:53 +0000

Ed Miliband could be facing a Labour rebellion over his refusal to budge on approving new North Sea drilling ventures amid spiralling global energy costs.

The conflict with Iran has seen oil prices soar and calls made to reopen the UK’s domestic crude extraction and reduce pressure on Britons.

However, the Energy Secretary has been resolute that awarding new drilling licences would not reduce household bills and that the Government's focus should remain on renewable sources.

"Some people want to go around and pretend that if we only draw more (oil and gas from the North Sea), prices would go down. That is totally false," he has previously claimed.

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Mr Miliband has maintained his policy of blocking new fields while allowing existing ventures to continue operating.

This has meant that sites like the Rosebank and Jackdaw gas fields, located approximately 150 miles from Aberdeen, have been awaiting ministerial approval since 2024.

Officials have confirmed that a decision on either project will not be made until autumn, a timeline that has provoked frustration among MPs who believe the Government is failing to address the crisis with sufficient urgency.

Rachel Reeves has publicly broken ranks with the Energy Secretary on the issue, declaring earlier this week that she would be "very happy" to support extraction at both proposed sites.

Anas Sarwar, Scotland's Labour leader, added his voice to the pro-drilling camp on Thursday, stating his belief that the licences should be approved and became the second most senior Labour figure to endorse the projects.

Keir Starmer has declined to enter the dispute, repeatedly telling the Commons during the final Prime Minister's Questions before recess that the matter rests solely with Mr Miliband.

However, a growing number of Labour MPs have added further pressure on the Energy Secretary to back new ventures in the North Sea.

Henry Tufnell, the MP who has been leading the campaign for the Government to embrace British energy production, said: "Drilling in the North Sea is vital for our own domestic energy security and is good for the economy, with increased tax receipts and jobs."

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He argued that communities dependent on the oil and gas sector would face devastating consequences from an unjust transition.

On Mr Miliband's commitments to net zero, the Mid and South Pembrokeshire representative questioned why the UK should import gas from nations with weaker environmental standards when domestic production remains viable.

Luke Akehurst, another backbencher, maintained there was "no contradiction between developing renewable energy sources and nuclear and using our remaining reserves of North Sea oil and gas".

Graeme Downie, representing Dunfermline and Dollar, insisted that a secure energy future required "more of everything," including North Sea resources, to support homes and businesses during crises.

Steve Yemm, the Mansfield MP, called for a managed transition that supported workers while maintaining responsible domestic production.

Trade union leaders, often staunch Labour allies, have also joined the chorus demanding increased North Sea production amid mounting concerns over fuel supplies.

Sharon Graham, general secretary of the Unite union, urged the Government last month to boost North Sea output.

"We all know that whatever happens, the UK will still need oil and gas for decades to come, and the war in Iran is just the latest reminder that when we rely on overseas production, our energy security is at the mercy of global events," she said.

Not all Labour MPs have rallied behind the drilling campaign, with the party's soft left wing expressing alarm at the prospect of expanded fossil fuel extraction.

Uma Kumaran, MP for Stratford and Bow, declared: "The climate crisis is very real, as is the energy crisis. We can't keep going back to oil and gas."

Edinburgh East and Musselburgh MP Chris Murray also argued that Britain's energy security was undermined, rather than strengthened, by its continued dependence on fossil fuels.

A Department for Energy Security and Net Zero spokesperson stated the Government could not comment on live planning decisions, adding that determinations would be made "in an appropriate and timely manner".