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BP profits more than doubled to £23billion last year as the oil major benefitted from runaway gas prices caused by the war in Ukraine.
The results, which come as households continue to struggle with high gas and electricity bills, prompted fresh calls for a higher windfall tax on energy firms.
BP’s profit was as slightly lower in the last three months of the year compared to previous quarters at 4.8billion dollars (£4billion).
The firm said that the result had been affected by its gas marketing division, which saw below average results after an exceptional third quarter.
BP’s profits are the focus of another political row today, with shadow climate secretary Ed Miliband calling on the Government to introduce a ‘proper’ windfall tax’.
BP unveiled bumper profits today, with the FTSE 100 oil major making £23billion last year
‘It’s yet another day of enormous profits at an energy giant, the windfalls of war, coming out of the pockets of the British people,’ he said.
‘What is outrageous is that as energy giants rake in these sums, Rishi Sunak still refuses to bring in a proper windfall tax.
‘This is why people are sick and tired of the way the country is run under the Tories.
‘In just eight weeks time, the Government plans to allow the energy price cap to rise to £3,000. Labour would use a proper windfall tax to stop prices going up in April.’
Last week Shell reported its highest profit in history, sparking calls for an additional windfall tax.
BP has previously revealed it expects to pay around £648million worth of windfall tax.
It also faces criticising for making a big cut to the ambition of its climate change pledge.
The business said it expects the carbon emissions form its oil and gas production will fall by between 20 to 30 per cent by 2030, when compared to 2019.
Its previous target had been a 35 to 40 per cent drop in emissions.
Oil and gas production is forecast to be around two million barrels of oil equivalent a day in 2030.
This is 25 per cent lower than in in 2019, but its previous plan had been to cut production by 40 per cent.
Bernard Looney, who takes home around £4.5million a year, has been at BP since 1991 where he started off a drill engineer in the North Sea
The company said that it would invest an additional eight billion dollars (£6.6billion) each in the energy transition, and in oil and gas, as CEO Bernard Looney promised to keep affordable energy flowing.
‘We need continuing near-term investment into today’s energy system, which depends on oil and gas, to meet today’s demands and to make sure the transition is an orderly one,’ said Mr Looney.
‘We have high-quality options throughout our portfolio, allowing us to choose only the best.
‘We will prioritise projects where we can deliver quickly, at low cost, using our existing infrastructure, allowing us to minimise additional emissions and maximise both value and our contribution to energy security and affordability.’
Tessa Khan, executive director of Uplift – which campaigns against fossil fuels – said: ‘It’s unconscionable that companies like BP can make this kind of money, while at the same time pensioners are having their homes broken into because they can’t afford their gas bill.
‘These are profits that BP is taking from us in higher energy and fuel bills. It is grossly unfair. The UK’s energy system isn’t just broken, it’s inhumane.
‘This government needs to get a grip and fix this now, starting by taxing these profits properly. Rishi Sunak must immediately close the £11billion loophole that he introduced the windfall tax.
‘Then he needs to get on with insulating the UK’s draughty homes, and ramping up cheaper, homegrown renewables, which we have in abundance, so that we can be free from oil and gas – and this kind of profiteering – for good.’
TUC general secretary Paul Nowak, reporting on the latest BP profit figures, said: ‘As millions struggle to heat their homes and put food on the table, BP are laughing all the way to the bank.
‘Hard-pressed families will rightly feel furious – they are being treated like cash machines. This boils down to political choices.
‘Ministers are letting big oil and gas companies pocket billions in excess profits. But they are refusing to give nurses, teachers and other key workers a decent pay rise.
‘We need a government on the side of working people, not fat cat energy producers.
‘That means imposing a higher windfall tax on the likes of BP and Shell. It means giving public servants fair pay. And it means giving households extra financial support as bills rise this April.’
Greenpeace UK’s head of climate justice, Kate Blagojevic, said: ‘BP is yet another fossil fuel giant mining gold out of the vast suffering caused by the climate and energy crisis.
‘What’s worse, their green plans seem to have been strongly undermined by pressure from investors and governments to make even more dirty money out of oil and gas.
‘This is precisely why we need governments to intervene to change the rules.’
She added: ‘It’s time to stop drilling and start making polluters, not communities, who did least to cause the problem, pay the price for the climate damage they are causing all around the world.’