The Treasury is "playing a dangerous game" with its "radio silence" on tax changes in the North Sea oil and gas industry, according to the shadow chancellor

Ed Balls said his opposite number George Osborne has failed to "understand the urgency of the situation" facing the stricken industry, which is braced for further job losses against a backdrop of falling oil prices.

Industry body Oil and Gas UK this week called for urgent tax cuts, and at a summit in Aberdeen at the start of this month, the UK Government said it was working with the sector as a matter of urgency.

Mr Osborne announced a programme of reform across the oil and gas tax regime in December and implemented an immediate cut to the Supplementary Charge levied against oil firms.

In January, the Government launched a "fast-tracked consultation" into a new allowance designed to reward investment in the North Sea.

Mr Osborne also promised to provide further support to industry in next month's Budget.

Mr Balls said the Government needed to act faster.