Shell has announced record profits for 2007.

Royal Dutch Shell plc has announced 2007 profits of US$27.6 billion (around £13.9 billion), compared with US$25.4bn for the previous year – the biggest ever profit reported by a British company.

The huge profit sum is largely attributed to the rising oil prices in the country.

Jeroen van der Veer, Royal Dutch Shell Chief Executive, said: “Overall these are satisfactory results. We made good progress in 2007, launched new projects upstream and downstream, and achieved exploration successes. In the fourth quarter, we continued to see weak refining margins. We are proceeding with the rejuvenation of our portfolio with investment in new legacy assets, and through disposals. The execution of our strategy is on track.”

However, some organisations have criticised the company’s huge profit, and have called for the Government to introduce a windfall tax and use the money to improve energy efficiency and the use of the alternative energy sources.

Tony Juniper, Director of environmental organisation Friends of the Earth, commented: “Shell is making vast profits from its climate changing activities. The Chancellor must introduce a windfall tax in his March Budget, and use the money to improve energy efficiency in people’s homes. Such a scheme would benefit the millions of householders who can’t afford to heat their homes, save people money and help tackle climate change. It would also reduce the UK’s reliance on imported oil. The Government must show that it means business on climate change.

“A tiny fraction of Shell’s investment is going into renewables. It must do more to tackle climate change by investing more of its vast resources in helping to develop a low carbon economy, and cleaning up the impact of its activities both at home and abroad.”

For a full breakdown of Shell’s 2007 figures, visit www.shell.com.