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Burnham to announce plans for new North Sea oil and gas drilling

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# Burnham to announce plans for new North Sea oil and gas drilling

Manchester Mayor Andy Burnham is preparing to unveil proposals for new oil and gas drilling operations in the North Sea, a move that threatens to reopen deep fissures within the Labour Party over its energy policy. The announcement, expected next week, comes despite the party’s 2024 general election manifesto pledging to halt the issuance of new drilling licences—a commitment that has already sparked internal rebellion and drawn sharp criticism from environmental groups.

According to sources within the Greater Manchester Combined Authority, Burnham’s plan would target existing licensed but undeveloped fields, rather than opening entirely new areas for exploration. The proposal is framed as a transitional measure to secure domestic energy supply and protect jobs in the offshore sector, which supports approximately 120,000 direct and indirect roles across the UK. Industry data from Offshore Energies UK shows that the North Sea still accounts for roughly 70% of the UK’s domestic oil and gas production.

“We cannot afford to turn off the taps overnight and leave ourselves at the mercy of volatile global markets,” Burnham told a closed-door meeting of Labour councillors last week, according to a recording obtained by *LOPINUZE*. “This is about ensuring a just transition that doesn’t decimate communities that have powered this nation for decades.”

The move has already drawn fire from Labour’s environmental wing. “Any new drilling is incompatible with the UK’s legally binding net-zero target by 2050,” said Dr. Emily Harris, a senior climate policy analyst at the Grantham Research Institute. “The Labour manifesto was clear: no new licences. This is a dangerous backslide that risks undermining the party’s credibility on climate action.”

Burnham’s announcement will be closely watched by the Treasury, which is grappling with declining North Sea tax revenues. Oil and gas production taxes generated roughly £12.8 billion in 2022–23, but revenues are projected to fall to £5.3 billion by 2027–28 as fields mature. The Finance Desk has previously reported that the UK’s energy security strategy remains in flux amid rising wholesale gas prices.

The mayor’s plans also carry significant political implications for Prime Minister Keir Starmer. Labour’s 2024 manifesto explicitly stated: “We will not issue new oil and gas licences, including for new fields, and will not support new coal, oil, or gas extraction projects.” Burnham’s proposal—if adopted—would mark the first major deviation from that pledge.

“This is a high-stakes gamble for Burnham,” said Professor James Whitmore, a political analyst at the University of Manchester. “He’s positioning himself as a pragmatic centrist who understands the realities of energy transition. But he risks alienating the core Labour base that voted for climate action. It’s a tightrope walk.”

Environmental campaigners have already vowed to challenge any new drilling in court. “We will use every legal tool to stop this,” said Sarah Lockwood, a spokesperson for Friends of the Earth. “The science is clear: we cannot burn more fossil fuels. The Labour leadership must enforce its own manifesto.”

Burnham’s office declined to comment on the specifics of the announcement, but a senior advisor confirmed the mayor is “committed to a plan that balances climate ambition with energy security and economic justice.” The full details are expected to be published on the Greater Manchester Combined Authority’s website next Tuesday.

Looking ahead, the debate over North Sea drilling is unlikely to subside. With the UK’s next general election due by 2029, the Labour Party faces a fundamental choice: stick to its net-zero commitments or risk alienating voters in industrial heartlands who fear job losses. Burnham’s proposal may prove to be a bellwether for the party’s future direction—and a test of whether the UK can truly deliver a “just transition” in the face of mounting economic and environmental pressures. The World News desk will continue to monitor developments as the story unfolds.

Editor's Note — Reviewed by Priya Kapoor. Based on reporting from trusted global wire services.
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Priya Kapoor

World Affairs Correspondent

Senior correspondent covering politics for LOPINUZE.