UK Oil and Gas Industry Seeks £50 Billion Investment Boost

The UK oil and gas industry is calling for more government support to unlock new projects worth £50 billion. According to an industry report, the sector could supply half of Britain's oil and gas needs without imports if the current windfall tax on energy firms was scrapped.

The Offshore Energies UK (OEUK) report claims that changes to the Energy Profits Levy (EPL) and approval of several controversial fields could unlock 111 projects, attracting investment worth £50 billion. North Sea output has been falling, and projections suggest that domestic supplies will meet only about a third of demand until 2050.

The OEUK report argues that fiscal reform and a pragmatic approach to licensing could improve long-term energy security. Policy Director Enrique Cornejo stated, 'Britain is at a critical juncture. Our industry is ready to invest and deliver more homegrown oil and gas, but the window for action is narrowing.'

The UK Labour government has banned new exploration licenses in UK waters, but OEUK says most of the 111 projects identified are within existing licensed areas. Environmental group Uplift branded the report a 'fantasy' and said that the Prime Minister should not listen to 'self-interested demands' of oil companies.