Osborne Proposes Tax Allowance for Generating Investments in North Sea

Osborne Proposes Tax Allowance for Generating Investments in North Sea

Chancellor George Osborne yesterday declared a few measures, which are being believed to help generate the investment required for the North Sea. Mr. Osborne suggested tax measures which would help fetch an extra £2 billion.

Previous year, UK government flagged off concerns over sharp increase in the taxes paid by oil firms to exploit oil fields. Following which, it has been unveiled that these oil companies will no longer have to pay taxes for taking oil and gas from older fields.

As per the recent measures, oil companies will not be paying full duty for exploiting older fields. Mr. Osbourne said, "The new Brown Field Allowance will shield up to £500 million of income from the charge when firms are boosting production from established fields, potentially cutting their tax bill by £160m".

However, the step will definitely affect the Exchequer, costing it around £100m per year initially. However, the officials are sure that after some time, the tax revenues collected will help balance the situation.

On the other hand, Mr. Osborne asserted that the move will turn out to be beneficial not only for the North Sea, but will also be a major step forward towards a better economy and also provide people with job opportunities.


FrenchTribune Specials

Victoria was young and had breast cancer

Victoria Yates, 40, is a senior crown prosecutor from Saddleworth, Manchester. She is married to David, and they have two children, Jamie, nine, and Luke, seven. After her finding, she set up the Younger Breast Cancer Network UK, an online help supportive network for breast growth sufferers under 45.

The night her life came apart couldn...

Most Popular

Errors cost £2.5bn a year to NHS, says Health Secretary

Health Secretary Jeremy Hunt has said that errors in...

Medical experts find first case of addiction to Google Glass

Medical experts in the US have confirmed that they are...

40% Decline in Peru’s Glaciers over past four decades

A statement from Peru government on Wednesday said...

Install an App on Your Smartphone and Track Cosmic Rays Colliding With Earth

Want to be part of a giant cosmic ray detector? All you...

Poll

Can Greece Come out of Economic Problems: