Norwegian energy company Equinor has declared record profits due to increasing gas prices. Chief executive and president Anders Opedal attributed this to the cost of switching from fossil fuels to less harmful energy sources. He added that windfall taxes on energy companies were having an impact on investment in UK projects. Pre-tax profits between July and September were $24.3 billion, according to its most recent financial figures, up from $9.7 billion the year before. Gas prices have recently returned to their pre-Russian invasion levels, in part as a result of warmer-than-normal temperatures over much of Europe. Gas and energy rates for homes and companies, however, continue to be high and are pushing up many people’s cost of living. Opedal said that gas and electricity costs are unlikely to return to the time when the typical UK home paid about £1,300 annually. Currently, the average annual bill for a property is roughly £2,500, which includes assistance from the UK government.

The UK imposed a windfall tax on energy corporations that benefited from the price increase last year. The so-called Energy Profits Levy, which was initially set at 25%, will increase to 35% in January and stay in effect through March 2028. Profits from UK oil and gas extraction are subject to taxation, but not from other activities like oil refining or forecourt sales of gasoline and diesel. Opedal stated that while the tax had not affected Equinor’s investment strategy in the UK, it was changing how they appraised each project since they must take the tax level into account in relation to all other risks.