Scotland’s Oil and Gas Sector ‘in Need of Urgent Support’, Says Deputy First Minister
February 16, 2016
The oil and gas industry in Scotland is in need of urgent support from the UK government, according to Scotland’s deputy first minister John Swinney.
In a letter sent to the UK chancellor George Osborne, Mr Swinney called on lawmakers in London to consider reducing the headline rate of tax affecting energy firms in order to support their activities and operations in Scotland.
Mr Swinney has argued that support for the oil and gas industry in Scotland needs to come quickly and ought to be aimed primarily at helping companies maintain and expand their activities in the North Sea.
The deputy first minister is also calling for the removal of what he calls “fiscal barriers” and anything that might make it more difficult for energy sector employers to continue their work off the coastlines of Scotland.
Among the key concerns outlined by Mr Swinney in his letter to George Osborne is the fear that critical infrastructure might be decommissioned early if confidence in the industry is persistently eroded and international energy prices fall any further than they have sunk in recent quarters.
“The North Sea oil and gas industry is facing substantial challenges. The industry, unions, and the Oil and Gas Authority have all raised concerns about the loss of highly skilled workers, and confidence levels are now at their lowest since records began in 2009,” Mr Swinney wrote in his letter.
“The Scottish Government will continue to do all it can to support the sector. It is clear, however, that the UK Government must take urgent action to reduce the headline rate of tax at the March Budget. The fiscal regime must not be a barrier to investment and activity in the North Sea.”
The deputy first minister also wrote of his regret that the Chancellor has not yet acted on his earlier advice to make policy changes in support of Scotland and the UK’s energy industry.
“I believe the measures that I called for would have helped mitigate the effects of the current oil price shock,” he wrote.
If you live in Scotland and are in need of advice on dealing with debt problems then Scotland Debt Solutions can help. Call one of our experts today to arrange a free consultation.
The start of a new year is the perfect time to take stock of your finances and put plans in place for a financially savvy year ahead. While you may feel your problems are insurmountable, there are always things you can do to help, most of them surprisingly easy. Here are 7 ways you can […]
If you have credit card debt which is attracting a high level of interest, moving this balance onto a lower interest card could save you a considerable amount of money. This process is known as a ‘balance transfer’, and if done correctly, this process could save you money and also reduce the time it takes […]
Many thousands of young Brits are being actively encouraged towards taking on debt and spending borrowed money even before they reach their 18th birthdays. That’s according to the price comparison website comparethemarket.com, whose research suggests that roughly one in four 16 and 17 year olds in the UK have been offered credit cards or asked […]
If you’re in serious debt with no hope of repaying your unsecured creditors, you don’t have to wait for a creditor to take legal action against you. You may be able to take matters into your own hands and apply for sequestration (bankruptcy in Scotland). This also prevents your situation from worsening. There are two […]
If you’re looking to save some money it’s a good idea to make a detailed budget that lets you see where your cash is currently being spent, and offers an overall view of your finances. You’ll need to collect together your income and expenditure details, including annual costs such as insurance, car expenses, birthdays and […]
Scotland has a number of formal debt solutions that can help you deal with a difficult financial situation. It’s advisable to take action as soon as possible, however, to prevent your levels of debt escalating when interest and other charges are added. Obtaining professional advice is key in this respect. An approved money advisor or […]