This Morning, BP reported record profits of $6.2 billion

May 3, 2022 2:00 PM
By Green Liberal Democrats
Originally published by Green Liberal Democrats
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This morning, BP reported a sizzling $6.2 billion (£5bn) of underlying profit.

Despite efforts to disguise windfalls under an apparent loss from exiting interests in Russia, BP outperformed projections significantly, benefiting from surging utility prices.

The oil and gas giant could have invested this windfall in green infrastructure, promoting energy security and reducing our carbon footprint. Instead, $2.5 billion has been committed to share buybacks over the next quarter, returning cash to shareholders and executives over improving our energy mix.

BP's Chief Executive Bernard Looney has compared the organisation to a 'cash machine' with 'more cash than we know what to do with'. We have some suggestions. Liberal Democrats have called for a 'Robin Hood' windfall tax on energy giants to support households throughout the UK with spiking bills.

A one-off levy would raise over £10bn over the next year, supporting families and households by allowing us to:

  • Double the Warm Homes Discount and extend it to all those receiving Universal Credit or Pension Credit.

  • Double the Winter Fuel Allowance.

  • Insulate homes to slash heating bills long-term.

  • Cut VAT to 17.5%, saving households £600 per year.

Meanwhile, Boris Johnson sat on Good Morning Britain and told the public that a windfall tax on energy companies will 'discourage them from making the investments that we want to see.'

With 7.5 million households set to enter fuel poverty, we cannot afford to ignore the problem, to stick our heads in the sand.

Boris Johnson and Rishi Sunak state that energy companies will figure it out for us.

This morning, BP gave us $2.5 billion of evidence to the contrary.

Sir Ed Davey MP spoke on BBC Breakfast, reiterating calls for an urgent windfall tax.

Watch his statement here:

Ed Davey BBC Breakfast Windfall Tax 03/05/2022

The Campaign:

We've collated a pack of urgent resources in our Windfall Tax campaign for you to respond to today's news:

P.S: In March, Energy Secretary Kwasi Kwarteng MP appointed the Chair of BP Europe Peter Mather to the Department for Business, Energy and Industrial Strategy (BEIS) executive board.