UK oilfield services companies plan to increase their workforces by an average of 10 percent over the next two years, according to a new report from corporate accountants Ernst & Young.
Ernst & Young said that more than 75 percent of businesses surveyed in conjunction with Oil & Gas UK expect to expand their staff, with 90-percent expecting an increasing in revenues. But 53 percent of respondents identified sourcing suitably-qualified personnel as the main factor limiting growth in their organizations.
Nearly two-thirds of firms stated that any surprise changes to the fiscal terms for the oil and gas sector would negatively affect their plans.
"The oilfield services segment continues to outperform most other UK industrial sectors, despite the recession. The UK, particularly the north east of Scotland, is recognized as a global leader and has the potential to deliver even more skilled jobs and greater export opportunities," commented Ernst & Young partner Ally Rule, the report's author, in a statement.
"There is evidence of record order books and rising revenues, but this is dependent on a stable fiscal environment. Changes made to the tax regime following the increase in the supplementary charge in 2011, alongside the introduction of an agreed framework for assurances on decommissioning tax relief, are redressing the balance and increasing confidence in the sector."
Ernst & Young's report follows a report by Lloyds Banking Group earlier this week that stated that the UK oil and gas sector could create more than 34,000 new jobs within the next two years. Lloyds also said that a skills shortage remains the sector's biggest challenge.
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