Shale gas fields can be exploited via a process known as hydraulic fracturing, more commonly known as ‘fracking’. These fields have become commonplace in various countries around the world and could potentially form part of a diversified energy future for the UK, reducing the independence on foreign energy resources.
In December 2012, Cuadrilla Resources were granted permission to resume exploratory drilling of a shale gas field in St Annes, Lytham, Lancashire.
Additionally, Cuadrilla have been granted permission to engage in the second phase of explorations, horizontal drilling, which will enable the company to assess how bountiful the field could be. If the company finds as expected and the claims are independently verified, the field could be worth billions of pounds to the economy in Lancashire and the UK.
Some sources say that the exploitation of the field could lead to a ‘Aberdeen effect’ for the area, where the Fylde coast could be regenerated via new jobs, new skills and investment. The area could become a hub for expertise in the field of ‘fracking’ and shale gas extraction.
The new jobs created could total 4200 a year in the UK, with 1400 of these jobs based in Lancashire according to a report by the Institution of Mechanical Engineers (IMechE). The report also suggests that the engineering skills developed could then be sold abroad, just as skills developed in Aberdeen in relation to Oil and Gas are now exported world wide.
The skills required would suit specialists in the fields of IT and engineering and if given the go ahead trigger an increase in requirement for contractors in these fields.
QAccounting are specialist Energy and IT contractor accountants, who have provided a fully inclusive accountancy service for contractors since 1999. If you require a Limited Company and an accountant when taking up a new contract, get in touch.
YOU COUNT. WE COUNT.
More Blogs
How Does MTD For Income Tax Work?
If you are a self-employed sole trader or earn income from property then you need to understand the new rules for Making Tax Digital (MTD) for income tax! The new rules start from April 2026, and they will require you to submit your financial records to HMRC throughout the year, in addition to still submitting a self-assessment tax return. Therefore it is essential to keep your accounting records up to date throughout the year (instead of just doing this at the year end), and if you don’t have time to do this yourself, then it is definitely a good idea to hire an accountant to help you!
What If I Haven’t Filed a Tax Return for One or More Years?
If you are a UK taxpayer and you haven’t filed your self-assessment personal tax returns for one or more years, you’re not alone! In this article, we explain the consequences of failing to submit your tax returns, how interest and penalties are calculated, and what steps you can take to resolve the situation and bring your tax affairs up to date. We also explore why engaging with a qualified accountant can be an essential part of getting back on track!
How Much Does a Director Loan Cost?
Director loans are a popular yet often misunderstood financing method used by small business owners. If you’re a company director who has taken, or is considering taking, money out of your company (that isn’t structured and subject to tax as: a salary, dividend, or expense reimbursement), then you are effectively using a Director Loan. It is therefore important to understand these rules and the costs involved.