Cabinet split over Rosebank North Sea oilfield decision

The UK cabinet is divided over whether to approve drilling at the Rosebank oilfield in the North Sea. Chancellor John Healey backs approving the Rosebank licence, a formal permission to develop the field, while Energy Secretary Miatta Fahnbulleh is ultimately in charge of the decision, according to The Guardian.

Rosebank and the smaller Jackdaw gasfield both lie off the coast of Scotland. Permission has been granted for Jackdaw. Fahnbulleh has said Jackdaw is a gasfield for the domestic market, while Rosebank is an oilfield mainly for export.

The Rosebank licence is on hold over concerns about the project's environmental impact. Fahnbulleh had been leaning towards rejecting Rosebank after approving Jackdaw, and officials say she has not yet made her decision. A final decision is expected before the end of 2026. Rosebank would produce emissions about seven times greater than Jackdaw.

Healey told ITV he expected oil and gas revenues to contribute to a new energy wealth fund. Fahnbulleh has said future North Sea revenues will be spent on green energy projects through such a fund, which is to be given £2bn in the budget.

The Mail on Sunday reported that Andy Burnham and Healey had agreed to try to push Rosebank through. No 10, the prime minister's office, declined to comment on the report. Labour MPs have said there would be a major pushback in the party if Rosebank were approved.

The prime minister would be expected to make the final call if the cabinet remains in conflict over Rosebank. Fahnbulleh has insisted that she, not the prime minister, will make the final decision, as BBC News reported.