The UK's largest oil and gas producer said it expects to lay off 250 jobs in Aberdeen.
Harbour Energy said it had already reviewed its UK operations and had to take "hard steps" to blame regulations and "punitive" government measures.
The UK government said its idea was to the idea of any worker affected by the "business decision".
The Aberdeen and Grampy Chamber of Commerce (AGCC) described the news as a "destructive blow."
Harbor Energy has previously announced the loss of 350 UK onshore jobs in 2023.
Harbor Energy has been a critic of the conservative British government's energy profit collection in 2022, known as the "Accidental Tax" and was extended after Labor came to power last year.
The UK government said taxes were being strengthened at the time to ensure North Sea oil and gas producers contributed a fair share of the energy transition.
It also noted that it decided on the decision of the Aberdeen-based British Energy Company and established a national wealth fund to help unlock investment in renewable energy.
But Port Energy claims it faces excessive taxation, which has eliminated profits from its North Sea business and undermined investments.
Scott Barr, managing director of the company's UK operations, said that in addition to the previously announced 350 job cuts, 250 job losses are expected to be caused in Aberdeen - about a quarter of the city's.
"Unfortunately, this review is a necessity to align staffing levels with lower investment levels, mainly due to the ongoing punitive fiscal situation of the government and a challenging regulatory environment," he said.
The question was raised on the Prime Minister's question, with SNP Westminster leader Stephen Flynn accusing Sir Keir Starmer of "destroying Scotland's job".
He said: "The 250 jobs in my constituency blinked, do you know who they blamed, Mr. Speaker? They blamed Labour's policies."
The prime minister said, “no one wants to see unemployment” but accused the SNP of trying to “disperse their disaster records” after nearly two decades of working in the government.
Conservative leader Kemi Badenoch also increased the loss of energy work at the port.
The Prime Minister accused her of being a "climate loser."
A UK government spokesman said: “Our ideas are related to any workers affected by this business decision and we will do everything we can to support workers and communities.
“The government has reformed its energy profits to support investment and give industry certainty and stability.”
"This is a devastating blow to more than 250 families that have directly impacted - I'm worried it's just the tip of the iceberg," said Russell Borthwick, Aberdeen and CEO of the Grampier Chamber of Commerce.
In March, the UK government consulted on plans for tax taxes that could replace energy companies' profits by the end of 2030.