Oil & Gas R&D Tax Credits
The oil and gas industry has a central role in the economy, with around 72% of the UK’s oil and 43% of its natural gas consumption coming from domestic production.
Innovation within the sector is key, especially due to increased pressure to adopt more environmentally sustainable practices, and more competition from renewable energy sources.
Oil & gas R&D could include the creation or modification of refining or drilling methods, offshore infrastructure, plant improvements, engineering solutions, technology advancements etc.
R&D tax credits can offer oil & gas organisations an additional tax deduction of up to 130% (SME example) off all qualifying innovation spend (changing to 86% on all expenditure on or after the 1st April 2023 (View R&D tax credit changes)).