Sse Share Discussion Threads

[18bt] 17/11/2022 17:18

How the levy works from Deloitte

There will be a new Electricity Generator Levy from January 2023. A temporary 45% tax will be levied on extraordinary returns from certain low carbon UK electricity generation. Extraordinary returns will be defined as the aggregate revenue that generators make in a period from in-scope generation at an average output price above £75/MWh. The tax will be limited to generators whose in-scope generation output exceeds 100GWh across a period and will only then apply to extraordinary returns exceeding £10 million. The Levy is expected to raise £14 billion over the next six years.

[tuftymatt] 17/11/2022 15:25

Thanks very much 👍🏻
So a 10% increase from January and for a a fair bit longer too then. Could have been far worse I guess is how the market views it.

[jrphoenixw2] 17/11/2022 15:21

Nice one Tufty! I found this article surprisingly insightful into all the detail of todays budget impacts on energy cos.


'What is the windfall tax on oil and gas companies?'

[tuftymatt] 17/11/2022 14:32

Wow I had a buy order in for a top up at 1595 and when I saw it got hit I expected the worse!! Come back from lunch to see it spin up to over 1700!!

I better read the budget details as it must have caused that right?

[pierre oreilly] 17/11/2022 13:52

Looks like a weak attempt to get cash from generators via increased windfall tax.

Weak because the esi is now a smokestack industry, with suppliers owning generators - and their separation was the whole idea of the deregulated industry a few decades ago.

Ok, so nobble generators, so the company can easily shift profits from the generation arm to the supplier arm. Simples.

[gilesy911] 17/11/2022 13:46

What a rise

[skinny] 17/11/2022 12:38

That's some turnaround!

[blackhorse23] 17/11/2022 12:38

Fascinated retail stocks CURY (LSE) , 56 online purchases per minute https://www.retailtimes.co.uk/barclaycard-continues-to-see-increase-in-black-friday-transactions-as-currys-records-56-online-purchases-per-minute/

[bountyhunter] 17/11/2022 12:26

rebounding now, perhaps there are some benefits in the details

[williamcooper104] 17/11/2022 12:06

I heard it as an extension of the windfall tax to electricity generators Which implies would be investment allowances - but would await details

[williamcooper104] 17/11/2022 12:05

Doesn't make a lot of senseIf old renewables have forward sold power then there's no windfall - but there's a windfall tax I presume the 45 percent is the total tax rate - eg 20 percent premium

[skinny] 17/11/2022 11:56

Well that hit the spot!

"There's to be a huge increase in windfall taxes. Oil and gas companies' tax will increase from 65% to 75% of profits on UK operations - till March 2028 - extended from December 2025.

Plus, there'll be a 40% tax on profits of older renewable and nuclear electricity generation."

[bountyhunter] 17/11/2022 11:54

new "temporary" 45% WT! Until when???!!!
on top of 40%?!
if so no wonder the share price is under pressure, and I didn't catch anything about a development allowance for green energy

[skinny] 17/11/2022 09:46

Barclays Overweight 1,615.50p 1,835.00p 1,835.00p Reiteration
Deutsche Buy 1,615.50p 1,900.00p 1,900.00p Reiteration

[blackhorse23] 16/11/2022 18:46

Switched my investment to CURY (LSE) , dividend announcements are coming

[bountyhunter] 16/11/2022 08:11

Surely all 'non Dom windfalls' should be subjected to a windfall tax!?

[coxsmn] 16/11/2022 07:59

Solid results

[tresham] 15/11/2022 14:43

There sould be windfall taxes on companies that gain yet do nothing to improve the situation. IG Group and Plus 500 have made a fortune out of Brexit, Covid and the Bond crisis/ mini budget.

[bountyhunter] 15/11/2022 13:44

Yes, hopefully factored in and with some kind of green energy development rebates or it would be crazy.

[bodgeman] 15/11/2022 10:16

Pundits predicting a 40% windfall tax on 'excess returns' - whatever that means. May sit this one out and see how things go on friday. I dont want another repeat of the mini budget.

[bountyhunter] 13/11/2022 18:08

If that article was next Friday I would think it was great news! Ticked it up hoping Sunak's raid on Thursday won't be too detrimental. :)

[jrphoenixw2] 13/11/2022 15:22

'SSE's future looks favourable - broker

UBS analysts expect SSE to report earning four times higher than last year, with the future looking bright for the energy company