The levy on low carbon electricity generators was unveiled in last week’s Autumn Statement with the aim to raise £14 billion in taxes.

Responding to the levy, SSE CEO Alastair Phillips-Davies said: “SSE has always believed in paying our fair share of tax and think a well-designed levy on extraordinary profits, where they are actually realised, is reasonable.

“We also believe in treating the cause, not just the symptoms of the energy crisis and we look forward to hearing more from government about how it will support the massive investment in homegrown clean energy that this country needs to end our dependence on expensive imported gas and cut bills in the future.

“Our commitment to this is clear with a potential £24bn pipeline of shovel-ready projects in the UK that will support thousands of good jobs in communities across the country.

“We will now work constructively with the government to see how this new tax will work in detail and how we can deliver a cheaper, cleaner and more secure homegrown energy system that protects families and business from energy price shocks in the future.”

Mr Phillips-Davies told the BBC’s Today programme: “We still want to spend, we still want to invest but this windfall tax is going to hit us.

“It’s going to take money away from us, and therefore we won’t have as much to invest.”

The CEO said “there is no doubt” the company will have to review its investments and may have to scrap some of its green energy plans once the levy comes into effect.

He added: “To say that imposing a 45% windfall tax on some areas of our business will not impact investment plans is nonsense.”