Response to Budget Announcement 2015 – Reforms for North Sea Explorers & Producers

Posted On March 18, 2015 By mhauk

Luke MorrisPix8 croppedHIGHRES

Luke Morris, Head of the Energy Sector at MHA, the national association of independent accountants, commented:

 “The Chancellor’s announcement around reforms for North Sea explorers and producers was expected and, in the current environment, desperately needed. UKCS has been a Government cash cow for too long—an effective system should never inhibit investments that are economic before tax, and that was happening. As the oil price has shown, flexibility and adaptability are of paramount importance in keeping the UK competitive in this area. The sector, and its supply chain, are of massive importance to the UK. The frontier areas and technically challenging aspects of the North Sea have necessarily led to UK companies developing and exporting world leading technology. These businesses need protecting and encouraging.”