Salmon sector welcomes ex-NATO chief back into government

He comes in as Labour’s Finance Minister, replacing the unpopular Trygve Slagsvold Vedum who took his Centre Party out of government last week over Labour’s policy on EU energy directives.

Stoltenberg (pictured) stepped down after more than 10 years in the top NATO job in October and has now dramatically re-entered Norwegian politics – raising hopes that the government may accept changes to its “ground rent tax”, also known as the “salmon tax”.

His appointment was even grudgingly welcomed by SalMar founder and chief Gustav Witzøe, a fierce opponent of the tax. Witzøe said the appointment was clearly confidence-inspiring, but the salmon entrepreneur is unlikely to vote Labour at the general election in September. A few weeks ago it was reported that he was donating NOK 8.75 million (around £620,000) to a joint action group seeking a change of government at the election.

The group believes that tax and business policy is "on a wild path and claims there is uproar among salmon owners against a government shouting “tax the rich”.

Now that Vedum has gone and a more pragmatic politician is taking his place, Labour hopes that his replacement will improve party fortunes.

Stoltenberg was a popular Prime Minister during most of his time in office and a highly effective NATO leader, particularly over the Russian invasion of Ukraine.

He now has six months to restore party popularity along the salmon farming coastal areas, but industry observers doubt if he will interfere with the tax before then, possibly promising changes to it if Labour are re-elected.

However, he may take action to remove or reform the Salmon Price Council, a step which the opposition Conservative and Progress parties have been calling for.