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PARLIAMENTARY WRITTEN QUESTION
Oil: Taxation (1 May 2018)

Question Asked

To ask Mr Chancellor of the Exchequer, what progress has been made on introducing a transferable tax history mechanism for oil producers for deals that complete on or after 1 November 2018.

Asked by:
Andrew Bowie (Conservative)

Answer

As announced at Autumn Budget 2017, the government will introduce a Transferable Tax History for oil & gas companies. This will give investors in UK oil and gas fields certainty that they will be able to get tax relief for decommissioning assets, and encourage new investment.

This mechanism will be available for deals where the transfer of the licence has been approved by the Oil & Gas Authority on or after 1 November 2018. This was set out in “An outline of transferable tax history”, published alongside the Budget:

https://www.gov.uk/government/publications/an-outline-of-transferrable-tax-history

Draft legislation will be published in the next couple of months for technical consultation.


Answered by:
Robert Jenrick (Reform UK)
8 May 2018

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