Measure

North Sea Oil and Gas

The measure

No changes to the North Sea oil and gas tax regime were announced at Spring Statement 2022, however, the government reconfirmed its commitment to phase out imports of Russian oil and oil products by the end of the year, with the newly established Taskforce on Oil working to support this transition.

 

Who will be affected?

Businesses investing in oil and gas exploration and production.

 

When will the measure come into effect?

Ongoing.

Our view

Companies investing in North Sea oil and gas should be encouraged by the Chancellor's Spring Statement, which maintains the stability of the oil and gas tax regime, and which should help provide investors with the confidence to undertake incremental activity.

An update of the UK’s energy policy is expected shortly, with the government seeking to balance the trilemma of energy security, low carbon and cost. The establishment of the Taskforce on Oil is an example of the government's commitment to collaborate with industry leaders to carry out its plans.