00:00Are people right to hope that you will help them in next month's budget?
00:04People can see prices rising, they see it at the pumps, they see it in their bills,
00:10they see it with monthly mortgage costs, and they can see it's driven by the conflict in the Middle East.
00:15And we're not alone in this.
00:17Last week I was with international finance ministers in every country around the world
00:21who is suffering from the impact of the Iran war and trade barriers and restrictions
00:26that mean that energy flows aren't getting out.
00:29I'm really conscious of these costs.
00:32We're a week away from the budget, and I think if people look at what we did in this first
00:36week of the government,
00:37you know, £2 cap on bus fares, we cut VAT off electricity bills,
00:43we reduce business rates for pubs, clubs and venues,
00:46and I will look to do more as I can to give a bit of breathing space on the cost
00:52of living
00:52and the cost of business at the budget.
00:54And you've approved the Jackdaw Gas field today.
00:58Here we are, a place where it's going to be pumped ashore.
01:02And you've said the tax revenue from that is going to go into a new energy wealth fund.
01:08What does that imply for the green transition costs that are currently on people's bills?
01:17Well, first, now is the time of the conflict and the rise in prices to make the most of our
01:24own homegrown energy
01:25through production from Jackdaw, and I'm also announcing this new energy wealth fund.
01:31It means the extra tax revenues that come from North Sea oil and gas
01:35can be directed into developing more clean energy projects for the future.
01:41But will that mean that you can actually take some of the burden off bills?
01:46Well, it'll mean that we can accelerate the necessary transition to clean energy
01:55that gives us greater security as a country from our own energy generation.
02:00And it means the proceeds of this oil and gas coming ashore now can be invested for the future generations.
02:07If we'd done this when North Sea oil and gas was first discovered in the 1980s,
02:13we'd have a British sovereign wealth fund now that would be worth probably a trillion pounds.
02:18And the one thing that matters to me today is that this demonstrates
02:22that when Britain sets its mind to do something, we can do it.
02:26Gas coming ashore from Jackdaw within a month will be heating people's homes,
02:32powering people's businesses.
02:33And how much tax revenue will that raise?
02:36A little raise over the...
02:39Well, what I can say is that over the last few years,
02:43the special North Sea energy profits levy has raised over 10 billion pounds.
02:49So a contribution in the past and now to public services and the support we all need.
02:54A contribution through this new energy wealth fund in the future to clean energy that we need.
03:00So we get cheaper energy, but we get cleaner energy as well.
03:04It's too early to say how much is going to go into the park.
03:06Too early to tell.
03:07The most important thing now is that gas coming out of this field from Jackdaw,
03:12by the end of the month, we'll be heating people's homes and powering people's businesses.
