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Aberdeen businessman who advised Labour says new ‘GB Energy’ HQ must be based in the city

Iain Anderson has just completed a business review for Labour after defecting from the Tories last year - and thinks it would send a big "jobs signal".

Leading Aberdeen businessman Iain Anderson.
Leading Aberdeen businessman Iain Anderson.

A leading Aberdeen businessman who switched support from Tories to Labour says Keir Starmer must locate his promised publicly-owned energy company in the city if he becomes prime minister.

Iain Anderson – who has just completed a business review on behalf of Labour after defecting from the Tories last year – thinks it could “send a signal” after jobs fears.

Labour claims GB Energy will cut energy bills, deliver energy security through clean power and create thousands of good local jobs.

But the party is yet to give details on how the model would operate or where exactly it would be based, other than in Scotland.

‘Locate GB Energy in Aberdeen’

Mr Anderson, who describes himself as a “professional Aberdonian”, founded public relations firm Cicero and previously advised former Prime Minister Boris Johnson.

Speaking on the Holyrood Sources podcast, Mr Anderson said: “I am not a Labour party spokesman, or a Labour Party member, but I’m backing them for the next election.

“The answer to me is really simple – for Keir (Starmer), for Ed (Miliband), and for Anas (Sarwar) – locate GB Energy in Aberdeen.

“You’ve got the agglomeration effect, you’ve got the skills, you’ve got the hub effect, you have the relationship between commerce, academia and investors.

“Send that signal – that’s what I would say.”

Labour leader Sir Keir Starmer (centre), Scottish Labour leader Anas Sarwar (right) and Ed Miliband, Shadow Energy Security and Net Zero Secretary (left), during a visit to St Fergus Gas Terminal, a clean power facility in Aberdeenshire in November. Image: PA.

It follows Ed Miliband, Labour’s shadow climate change minister, telling the P&J  Aberdeen has a “strong claim” to get Labour’s GB Energy headquarters.

Mr Anderson quit the Tories last year after 39 years due to its “economic failings” and claimed the Conservatives had become too focused on trying to “run a culture war”.

He has now been charged by Labour with drawing up a plan to bring business into the heart of government, if the party enters Downing Street after the next election.

Windfall tax row

The leading businessman’s intervention follows the party finding itself at the heart of a furious debate over its windfall tax plans and wider North Sea strategy.

Labour wants to increase the levy from 75% to 78% and extend it to 2029.

It was introduced by the UK Government in May 2022 in response to the soaring profits of energy giants.

Supporters say it is vital to help increase spending on public services and take pressure off struggling households.

But analysts warn it could cost the UK £20 billion by deterring investment and putting thousands of jobs at risk.

The policy also follows Labour abandoning a pledge to spend £28 billion a year on green energy jobs. 

The future of the North Sea is at the heart of a furious political debate. Image: Shutterstock.

Ryan Crighton, policy director at Aberdeen and Grampian Chamber of Commerce, welcomed Mr Anderson’s comments and said it makes “complete sense” for GB Energy to located in Aberdeen.

He said: “Great British Energy could see the government take a bigger stake in the energy transition and directly create a significant number of jobs in the renewables sector.

“However, the only place where the necessary expertise exists to ensure it is successful is right here in the north-east of Scotland. “

Conversation