Harbour Energy confirms 250 job cuts in Aberdeen due to windfall tax

Harbour Energy, the UK's largest oil and gas producer, has announced it will cut 250 jobs in Aberdeen—about 25% of its workforce—citing the UK government's increased windfall tax and regulatory challenges as key factors. The company attributes reduced investment and profitability, including a swing from profit to loss and effective tax rates exceeding 100%, to the Energy Profits Levy introduced in 2022 and later expanded. Harbour is also reviewing its involvement in major carbon capture projects due to government delays and uncertainty around funding for initiatives like the Viking project. Industry leaders and local officials have described the job losses as a devastating blow to the region, warning of broader negative impacts if current policies continue. The UK government has defended the windfall tax, stating its intent is to ensure energy companies contribute to the energy transition and national priorities. Harbour, however, warns that continued high taxation and regulatory uncertainty risk undermining both UK energy security and ambitious net zero goals.