Pressure continues to build on the UK Treasury to inject cash into the north-east energy industry.
Aberdeen South MP Stephen Flynn has written to Rishi Sunak, accusing the chancellor of “complete and continued silence” on relief for the struggling sector.
The SNP MP told Mr Sunak a “perfect storm” has hit the industry, with the continuing decline of Brent crude oil prices caused by the coronavirus pandemic and the “looming threat” of a lack of storage capacity.
In the letter, Mr Flynn highlighted the more than 250,000 jobs either directly or indirectly involved in the energy industry and insisted measures must be taken to protect the economies of Aberdeen, Scotland and the UK.
Mr Flynn has previously raised the issued on the floor of the House of Commons, and has already written to the chancellor twice already.
He urged Mr Sunak to engage with industry bosses to ensure the right kind of support is provided and renewed calls for funding to help Aberdeen and the north-east move into the renewable sector.
The Aberdeen South MP told The P&J: “This will be the fourth occasion that I have raised the collapse in the price of oil with the chancellor since the start of March yet we are yet to hear a single word of support from the Treasury for the sector.
Mr Flynn added:“I appreciate that the chancellor has much to contend with at present but the reality is that his continued silence cannot continue – jobs and the future economic prosperity of our city and region are on the line.
“Oil and Gas UK and trade unions have been clear in their comments that action is needed to try and weather this storm and I will continue to back their calls to protect the future of my constituents.”
On Tuesday, city council chiefs penned letters to Prime Minister Boris Johnson and First Minister Nicola Sturgeon urging government intervention to save “tens of thousands of jobs” in the industry.
A Scottish Government spokeswoman said: “The Scottish Government is determined to use all resources and levers at our disposal to support businesses and jobs during this global public health crisis.
“Although oil and gas taxation and regulatory policy remains reserved to the UK Government, we continue to work closely with the UK Government and the industry to assess the gaps within the existing support packages that have been announced.
“The energy minister has held a number of strategic engagements with the sector since the onset of Covid-19, including with Oil And Gas UK, The Oil And Gas Authority and the trade unions.
“A meeting of the Scottish Government’s Oil And Gas Energy Transition Strategic Leadership Group was also convened this month to hear directly from stakeholders on the immediate and longer term challenges affecting the sector.”
The Treasury was approached for comment.