Summary
The UK government plans to ease restrictions on new oil and gas drilling in the North Sea as part of its North Sea Strategy. Chancellor Rachel Reeves will introduce the plan during her Budget speech, and it includes allowing new drilling connected to existing fields. There is also discussion about changing the current windfall tax affecting the oil and gas sector.
Key Facts
- The UK government plans to loosen rules on oil and gas drilling in the North Sea.
- Chancellor Rachel Reeves will announce this as part of her Budget speech.
- The strategy allows new drilling if it's linked to existing oil and gas fields.
- The controversial Rosebank field's future approval could be affected by these changes.
- The industry is lobbying to change the current 78% windfall tax.
- The sector reports low investment and job losses of about 1,000 jobs a month.
- Changes to taxation, like a cap and floor system, are being considered to align with oil price fluctuations.
