Chancellor Promises Tax Breaks for North Sea Oil & Gas Industry
March 8, 2017
Chancellor of the exchequer Philip Hammond has outlined plans to establish tax incentives in the interest of supporting activities within the North Sea oil and gas industry.
The industry has been beset with challenging economic dynamics in recent years and thousands of Scots have lost their jobs as a result during that time.
Lobbying groups including the trade organisation Oil & Gas UK have been calling for the government to take action in support of the energy sector and welcomed announcements made by Mr Hammond during his spring Budget speech.
The chancellor explained to the House of Commons that a panel of experts will be assembled to assess precisely how tax breaks might best be used to encourage and support activity among oil and gas operators with interests off the coasts of Scotland.
A discussion paper outlining the key issues in these contexts is now set to be published on March 20th, with the hope being that the creation of a new tax regime will improve prospects for energy firms operating throughout the North Sea.
Issues relating to the tax treatment of decommissioning processes and the details involved in selling well-established oil and gas assets are apparently central to much of the debate on these subjects.
“We welcome the chancellor’s response to our call to resolve the tax issues slowing down asset transfers and his recognition of the need to maximise recovery of remaining UK oil and gas reserves,” said Deirdre Michie, chief executive of Oil & Gas UK, in a statement following the Budget on March 8th.
“The industry is slowly emerging from a very challenging period and it is crucial that the North Sea is successful in attracting investment in the near-term to sustain production and stimulate new activity.”
On the subject of Scotland and its finances more generally, Philip Hammond said during his Budget speech that the government in Holyrood is in line for a £350 million funding boost.
Mr Hammond said that the extra funding shows that Scotland and the rest of Britain are “stronger together in this great United Kingdom”.
If you are struggling to deal with debt management problems of any kind then Scotland Debt Solutions can help. You can call any of our offices to arrange a free and confidential consultation.
Dealing with debt collectors can be a highly stressful experience, but when they’re aggressive in their techniques, how do you deal with it? Strict regulations surround the collection of debts, and it’s against the law for debt collectors to act aggressively, intimidate or bully, or intimate they can carry out certain enforcement actions when in […]
If you’re a homeowner in Scotland, and are experiencing high levels of debt, your property may be affected when you enter a formal debt relief procedure. This doesn’t necessarily mean you’ll need to sell your home, however – you may be able to remortgage to provide additional funds for your creditors. If you have a […]
In many cases sequestration doesn’t affect a person’s job, and you may be able to carry on working with no adverse effects on your current or future employment situation. But because sequestration is a serious step to take, it’s worthwhile checking your employment contract for any clause relating to debt or bankruptcy prior to becoming […]
When you look at your credit report, you’ll see various status codes marked against individual loans and other borrowing. These indicate the extent to which you’ve repaid your creditors, whether there were any defaults, and if the account has now been closed. You may also have noticed that two codes sound fairly similar, and relate […]
When you owe money to a number of different creditors, it can be difficult to know who should take priority. To clarify which debts should be paid first, consider the consequences of failing to pay each one. A good example is your rent or mortgage payments – failing to pay these could result in the […]
Scottish trust deeds offer a way out from serious debt, and the chance to rebuild your financial life once the trust deed term has ended. They’re a debt solution that’s only available to residents of Scotland, and generally last for four years although there are certain factors that can affect this length of time. One […]