Shale gas companies to receive tax cuts
Shale gas operators will pay only 30% tax, down from 62%, on profits made from shale gas operations, the government has confirmed.
Chancellor George Osborne has reiterated the “huge potential” for shale gas extraction as part of the UK’s energy mix.
“I want Britain to be a leader of the shale gas revolution because it has the potential to create thousands of jobs and keep energy bills low for millions of people.” Mr Osborne commented.
UK fracking has been an area of high interest, with an estimated 1,300 trillion cubic feet present in the north of England alone.
The UK government now appear confident that extracting the natural resource would be a safe practice, despite many communities around Lancashire claiming fracking has caused earthquakes and could cause further damage. Friends of the Earth have called the governments announcement a “disgrace”.