Shell reports highest profits in 115 years of £32bn following fuel crisis of Russia’s invasion of Ukraine
Shell’s record-breaking financial year follows a fuel crisis that followed Vladimir Putin’s Russia invading Ukraine and the ongoing cost of living crisis in the UK.
Shell has reported a record-breaking financial year that saw the company receive their highest profits in 115 years. The oil and gas giant saw gains of approximately £32 billion last year following the energy crisis that hit the UK as a result of Russia’s invasion of Ukraine.
Financial records show that Shell recorded profits of £32.2 billion in 2022 alone. It is double last year’s total and marks the highest the company has received in its 115 year history.
A number of energy companies have been rewarded and seen record earnings since oil and gas prices hiked following the invasion of Ukraine on February 24. This has increased pressure on the firms to pay more tax as the cost of living crisis continues to financially restrict UK households.
The government recently introduced the Energy Profits Levy as a way to combat this. It is a windfall tax on the profits made by these companies to help fund a scheme to lower gas and electricity bills and support families.
Energy bills have been on the rise ever since the end of Covid-related lockdown procedures, though tensions in the West have resulted in a spike over fears of limited supply. It has helped push inflation to what once was a 40-year high of 11.1%, as well as bumper profits for all the major firms.
It comes at the time when the limit on UK household energy bills are scheduled to be increased. Having once typically been £2,500 every year, it is due to rise to £3,000 in April.