Chancellor Rachel Reeves is proposing tax reforms aimed at the way oil and gas companies are taxed on overseas activities. According to reports, the plans are designed to close what is described as a tax loophole, preventing certain offshore or overseas profit structures from reducing tax liabilities. Reeves is said to expect the reforms to raise significant revenue, with estimates described as bringing in “hundreds of millions of pounds.” The measures focus specifically on how companies’ overseas activities are treated for tax purposes rather than on changing domestic production tax rates directly. The proposals are framed as targeting profits linked to oil and gas while tightening enforcement or adjusting rules that allow companies to benefit from existing arrangements. The reports do not set out detailed implementation timelines, the precise legal mechanism, or how companies would be affected in practice, but they indicate the government intends to reform the taxation framework to increase receipts and reduce opportunities for tax avoidance linked to overseas operations.