𝓤𝓷𝓲𝓽𝓮𝓭 𝓝𝓮𝔀𝓼

The think tank warns that the UK should have already been taking steps to bolster domestic supply of oil and gas before the Iran war, which has sent global prices soaring. It argues that reaching net zero by 2050 will only be achieved through a more practical strategy focused on electrification, affordability and resilience.

The TBI’s energy policy expert, Tone Langengen, said: “Iran hasn’t just been an energy shock – it’s been a cost-of-living shock and a test of Britain’s economic resilience.

“But the case for strengthening domestic supply and backing projects like Jackdaw and Rosebank was already strong – the crisis has simply exposed how vulnerable the UK remains without it.

“If the Government doubles down on the wrong parts of the system, the UK will remain exposed to the same vulnerabilities.

“But this is also an opportunity to reset – including by accelerating domestic supply to reduce reliance on volatile imports and support UK jobs and tax revenues.

“A credible strategy must do three things: manage today’s system, reduce exposure to shocks, and reshape the energy system over time.

“The lesson from Iran is clear: the UK doesn’t just need more clean power, but electrification, greater resilience and a more affordable system over time. Without it, households will face repeated price shocks, businesses will carry persistently high costs, and the transition itself will fail.”

The Rosebank and Jackdaw projects were halted by a Supreme Court ruling in 2024 that emissions created by burning fossil fuels should be considered when granting planning permission for new drilling sites.

The Tories and Reform UK have called for more oil and gas drilling in the North Sea amid the Iran war, which has sent fuel prices soaring.

Prime Minister Sir Keir Starmer has insisted that it is a matter for the Energy Secretary.

Labour pledged not to approve new oil and gas drilling in its election manifesto.

The Department for Energy Security and Net Zero has been contacted for comment.