Full Breakdown
Andy Burnham Faces a Test on North Sea Drilling and Public Control of Thames Water
7/18/2026, 11:28:29 AM
The Immediate Decision Point
Incoming Prime Minister Andy Burnham is expected to announce, within days of taking office on Monday, whether his government will back new drilling at the Jackdaw gas field and the Rosebank oil field off Scotland. Both projects received licences from the Conservative government in 2022-2023 but were overturned in 2025 after a court challenge. Labour’s 2024 manifesto pledged not to issue new licences, yet the licences in question were granted before the party assumed power. Officials are preparing options that could include “tie-backs” to existing infrastructure, but a final decision will hinge on the outcome of a public consultation that runs until 8 August.
Background & Context
The debate intensified after the Iran war drove global energy prices higher, prompting calls to maximise domestic supplies. The oil and gas industry, together with trade unions, sent Burnburn a letter urging all Labour MPs to “back North Sea oil and gas,” framing the move as a signal of commitment to “producing, building and manufacturing.” At the same time, Labour’s Energy Secretary Ed Miliband, a long-time net-zero advocate, has labelled the Rosebank licence “climate vandalism.”
Data & Statistics
- Jackdaw and Rosebank were approved under Conservative administrations in 2022 and 2023.
- A 2025 court ruling declared the approvals unlawful, ordering a reconsideration.
- YouGov polling shows 82 % of Britons support nationalising water companies.
- Heatwaves in May-June 2026 killed roughly 2,700 people and cost the UK economy an estimated £2.4 billion in lost productivity.
Official Statements & Responses
- The Labour leadership has signalled that any approval would not breach the manifesto because the licences pre-date the current government.
- Burnham’s team has asked the civil service to draft plans for both new drilling and greater public control of Thames Water, including the possibility of placing the utility into special administration.
- Thames Water CEO Chris Weston said, “I very much respect for him needing or saying that there needs to be greater public control.”
Criticism & Opposition
- Tessa Khan, executive director of the nonprofit Uplift, warned that it would be a “mistake” for Burnham to “cave into the demands of the profiteering oil and gas industry” and that such a move would be “out of step with the majority of voters.”
- Green Party leader Zack Polanski called new drilling “a signal the UK is stepping back from its climate commitments.”
- Environmental campaigner Chris Venables noted that Burnham has been “very quiet about the climate crisis so far,” adding that silence does not guarantee a watered-down agenda.
Verbatim Quotes
- “climate vandalism” — Ed Miliband, Energy Secretary
- “Ultimately to help protect everyone in this country from the impacts of the climate and nature crisis, we need to end oil and gas drilling in the North Sea for good.” — Andy Burnham, The Guardian interview
- “We treat these things as if they’re in silos, but it’s much better to solve them in a holistic and joined-up way,” — Craig Bennett, chief executive of the Wildlife Trusts
- “ The policy was also attacked by Green Party leader Zack Polanski who said new drilling in the North Sea would be a signal the UK is stepping back from its climate commitments.” — Zack Polanski, Green Party leader
Conflicting Reports & Gaps
- Labour officials argue that approving Jackdaw and Rosebank would not breach the manifesto because the licences were issued before Labour took power; opponents contend that any new drilling contravenes the pledge to halt fresh licences.
- No definitive timeline has been provided for when Burnham will name the minister who will decide on the licences, leaving the decision-making process opaque.
What’s Next
- Burnham is slated to deliver his first speech as prime minister on Friday, where he is expected to outline his stance on both North Sea drilling and the future of Thames Water.
- The public consultation on the Jackdaw field closes on 8 August, after which the government will be expected to announce whether the project proceeds.
The coming weeks will reveal whether Burnham’s early actions align with Labour’s manifesto or mark a pragmatic shift in response to energy security pressures and industry lobbying.
