Leader of Scottish Tories Promises to Oppose North Sea Tax Extension

Jeremy Hunt, a figure well-known amongst Scottish Conservatives, has incurred their ire once again. This time, it's over his admission that he targeted Scottish oil and gas companies in his recently unveiled budget. Even more controversy is brewing in the wake of his decision to extend a lucrative tax for an additional year. But the question that's on everyone's lips - who were the big losers in his budget proposal? The answer might surprise you.

Interestingly, when confronted with this question on Today on BBC Radio 4 on Thursday, Hunt gestured towards foreign nationals. His reason? Their whole income would now be taxable under the abolition of the 'non dom' status. This pertains to the passing of a contentious rule that could imply an increase in the taxable income of foreign nationals living in the country. However, this was not the end of his revelations.

Without missing a beat, Hunt added, "I've also asked the Scottish oil and gas industry to pay an additional contribution." The reason - the ongoing war in Ukraine has led to oil and gas prices remaining high for a longer period, thus impacting economies worldwide. The financial pressures stemming from the global geopolitical landscape push the burden onto industries profiting from these high energy prices.

A closer look at his statement suggests that the Scottish oil and gas industry is essentially being penalised for global events beyond its control. There are growing fears that such a move could spur a rebellion north of the border as companies and individuals feel expected to bear the financial brunt of foreign conflict.

As such, it appears that despite the elements of surprise and suspense in Hunt's budget, it has drawn flak from multiple quarters, particularly from those who find themselves disadvantaged. The unfolding of the tensions over his new budget, especially amongst Scottish Conservatives, is something to watch closely in the coming days.