Oil & Gas UK Economic Report 2014

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2

Source: EY

Source: EY

Looking to the future, the export market is becoming more important and small and medium enterprises need support to capture a greater share of the overseas market by:

The UK needs to provide an attractive environment for foreign companies to invest and remain here by: • Ensuring the UK remains an international oil and gas hub and a centre of excellence for oil and gas expertise • Reducing the supply chain’s costs • Ensuring the infrastructure priorities are adequately addressed • Ensuring equipment manufacturing continues within the UK

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4

Government introductions

helping

to

facilitate

•

• Provision of a central repository of relevant information on overseas countries • Using informal networks and linking-up with other UK companies • Leveraging product and service quality as a differentiator • Leveraging the commitment to health, safety, the environment and quality • Developing capabilities in new areas based on UKCS maturity Since EY published this report in April 2014, the steering group, comprising representatives from industry, Oil & Gas UK, BIS, DECC and UK Trade & Investment, has met to discuss the actions across the four themes highlighted above to determine which were already being addressed by other bodies and to progress the remaining action points. This work will continue and is a key focus for the joint industry-government Oil and Gas Industrial Strategy.

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6

7

Source: EY

Labour supply was unanimously highlighted as a major concern for the UK’s oil and gas sector. A number of specific areas have been identified where action is required: • Improving access to the oil and gas industry by training labour from other industries, recruiting and training ex-military personnel and increasing graduate training schemes • Raising awareness in schools and universities • Increasing retention of older personnel to ensure knowledge is captured and transferred to younger employees.

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ECONOMIC REPORT 2014