Reeves promised oil industry ‘quid pro quo’ over windfall tax in private meeting

Government accused of making ‘secret exchange deal’ with fossil fuel companies to compensate for tax hike

The chancellor, Rachel Reeves, told a fossil fuel company the industry would receive a “quid pro quo” in return for higher taxes on its windfall profits, it can be revealed.

In a meeting with the Norwegian state energy company Equinor on 27 August, Reeves suggested that the government’s carbon capture, usage and storage (CCUS) subsidies were a payoff for oil firms being hit with a higher tax rate.