Tax breaks for UK shale gas industry
The Government is proposing to reduce the tax due on income for shale gas producers from 62% to 30%.
As well as increasing the UK’s energy security, ministers argue that shale gas could lead to the creation of thousands of jobs and to increased tax revenues from the oil and gas industry.
Also promised is a “robust” scheme to make sure that local communities benefit from hosting shale gas exploration, with operators providing at least £100,000 of benefits per fracked well site during the exploration phase – and no less than 1% of overall revenues.
A recent report by the British Geological Survey revealed that there is more than twice as much shale gas in the north of England alone than was previously thought to be in the entire country.