Five questions answered on… BP's record fine for Deepwater Horizon

The oil giant's in giant trouble.

How much does BP have to pay in the settlement? 

The oil giant pleaded guilty to the manslaughter of 11 men during the 2010 spill and have been ordered to pay $4.5bn (£2.8bn) to the US authorities. 

How much has the oil spill cost BP altogether? 

After this latest settlement it is estimated the biggest oil spill disaster in America’s history has caused the offending company £43bn. 

However, there is also a civil case that remains unresolved accusing BP of gross negligence, which if BP are found guilty it will no doubt have to pay out even more. 

What about the manslaughter charges?

BP has pleaded guilty to the manslaughter of 11 men. The Department of Justice has also charged BP’s two highest-ranking supervisors on the Deepwater Horizon, Robert Kaluza and Donald Vidrine, with manslaughter, negligence and gross negligence.

Also, David Rainy a former senior BP executive who served as deputy commander during the spill has been arrested for allegedly underestimating the spill. 

BP will also plead guilty to two criminal misdemeanor counts over the spill and to a criminal felony charge of obstructing Congress by lying about the amount of leaking from the Macondo well. 

What have officials said about the settlement? 

The Telegraph report that the New Orleans assistant attorney general Lanny Breuer said:

“Perhaps the greatest tragedy is that the deaths of the 11 men on board the Deepwater Horizon could have been avoided. As the oil spill continued, BP made a tragic situation worse: it began misleading Congress and the American people about how much oil was pouring out of the Macondo well.”

What has BP said? 

BP chief executive Bob Dudley said:

“All of us at BP deeply regret the tragic loss of life caused by the Deepwater Horizon accident as well as the impact of the spill on the Gulf coast region.

“We apologise for our role in the accident and, as today’s resolution with the US government further reflects, we have accepted responsibility for our actions.”

Deepwater Horizon burns in 2010. Photograph: Getty Images

Heidi Vella is a features writer for Nridigital.com

Photo: Getty
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The big problem for the NHS? Local government cuts

Even a U-Turn on planned cuts to the service itself will still leave the NHS under heavy pressure. 

38Degrees has uncovered a series of grisly plans for the NHS over the coming years. Among the highlights: severe cuts to frontline services at the Midland Metropolitan Hospital, including but limited to the closure of its Accident and Emergency department. Elsewhere, one of three hospitals in Leicester, Leicestershire and Rutland are to be shuttered, while there will be cuts to acute services in Suffolk and North East Essex.

These cuts come despite an additional £8bn annual cash injection into the NHS, characterised as the bare minimum needed by Simon Stevens, the head of NHS England.

The cuts are outlined in draft sustainability and transformation plans (STP) that will be approved in October before kicking off a period of wider consultation.

The problem for the NHS is twofold: although its funding remains ringfenced, healthcare inflation means that in reality, the health service requires above-inflation increases to stand still. But the second, bigger problem aren’t cuts to the NHS but to the rest of government spending, particularly local government cuts.

That has seen more pressure on hospital beds as outpatients who require further non-emergency care have nowhere to go, increasing lifestyle problems as cash-strapped councils either close or increase prices at subsidised local authority gyms, build on green space to make the best out of Britain’s booming property market, and cut other corners to manage the growing backlog of devolved cuts.

All of which means even a bigger supply of cash for the NHS than the £8bn promised at the last election – even the bonanza pledged by Vote Leave in the referendum, in fact – will still find itself disappearing down the cracks left by cuts elsewhere. 

Stephen Bush is special correspondent at the New Statesman. He usually writes about politics.