Oil giant BP is considering quitting the North Sea in the latest blow to Britain's energy security under Ed Miliband, it was reported last night.

The firm's new boss Meg O'Neill – who took over a month ago – is weighing up a £2billion sale of the assets.

It comes just days after Mr Miliband attacked the company over its soaring profits, describing them as 'morally and economically wrong'.

He accused the company of 'profiting from a crisis' and said the Government was right to target oil and gas firms with high taxes. Ms O'Neill said any fresh tax raid on the sector would be 'a highly flawed response to the situation'.

Mr Miliband is already widely blamed for crushing North Sea investment with his Net Zero drive.

Labour has stopped new drilling and extended a windfall levy which means oil and gas operators must pay 78 per cent taxes on their North Sea profits.

Critics say that boosting domestic oil and gas production is increasingly important at a time when energy supplies from the Middle East are being choked off due to the Iran war.

It came as Rachel Reeves was slapped down by the competition watchdog over her claims petrol forecourts are 'profiteering' amid the Iran conflict. 

The Chancellor was humiliated by the Competition and Markets Authority (CMA), which found that margins at the pumps were 'broadly unchanged' since the conflict started.

Ms Reeves sparked a furious row with industry leaders by claiming they were using soaring oil prices caused by the war as a cover to fleece drivers.

And the Chancellor faced fresh accusations that she was the 'real profiteer' after the VAT windfall she has raked in because of higher pump prices over the past two months surged past £350million.

Ms Reeves is refusing to use the windfall to ditch her planned fuel duty hike, which kicks in from September.