Wragge Lawrence Graham & Co

UK 200 2014 position: 28

Tax support for the UK onshore shale gas industry: an innovative approach to an unconventional fuel reserve

The government is ambitious to support industry in its exploitation of shale gas as a new source of energy supply and is anxious to ensure that there are as few tax disincentives as possible to unlocking early exploration.

HM Treasury and the Department for Communities and Local Government issued a consultation document in July — ‘Harnessing the potential of the UK’s natural resources: a fiscal regime for shale gas’. It sought views on its tax proposals and to stimulate debate on the shape of the new regime. The government has now given its response to that consultation and debate.

The Finance Bill 2014 will make provision for the new regime…

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