Andy Burnham is expected to signal support for more North Sea oil and gas drilling after becoming prime minister, in what could mark an early shift in tone on UK energy policy.
The move is expected to form part of a wider package of measures from the incoming government, including plans for greater public control of water and energy companies, a new council housebuilding programme and cost-of-living support.
At the centre of the debate are the Rosebank oil field and Jackdaw gas field, both of which already hold licences but require further approval before production can proceed.
That distinction is politically important. Labour’s 2024 manifesto pledged not to issue new oil and gas exploration licences, but also committed to honouring existing licences.
As a result, approval for production at already licensed fields would not necessarily breach the manifesto pledge, although it would still provoke strong opposition from climate campaigners and some Labour MPs.
The ongoing legal process around Rosebank and Jackdaw means Burnham is unlikely to explicitly approve either project in his first speech as prime minister.
Instead, any formal decision is expected to fall to the incoming energy secretary once the new Cabinet is confirmed.
Burnham could also pledge to accelerate development of existing North Sea licences, including tie-back projects linked to fields already approved in previous years.
Supporters argue that backing domestic oil and gas would protect jobs, support energy security and reduce reliance on imports at a time of heightened geopolitical risk.
Opponents argue that more drilling will not materially reduce household bills and would undermine the UK’s climate commitments.
The issue has become increasingly divisive within Labour, with some MPs urging a more pragmatic approach to oil and gas while others insist the government must follow climate science and prioritise renewables.
Industry groups and trade unions have called on Burnham to back the North Sea sector, describing it as a signal that the government supports the workers and regions that have long powered the UK economy.
The Green Party has already criticised the expected shift, arguing that approving new drilling would be the wrong response to the energy crisis.
Burnham is expected to take office on Monday and has said he is finalising his Cabinet before setting out his early policy agenda.
