Scotland's Economy

FM announces support for oil and gas industry

February 4, 2016 by Nicola Sturgeon MSP No Comments | Category Economy, Employment, Energy

Aberdeen and the North East of Scotland plays a crucial part in our economy and remains central to driving future growth and prosperity in Scotland.

Clearly, the oil and gas industry is central to Aberdeen’s economy and will continue to be for decades to come, but there is also enormous potential elsewhere in the region.

On top of the £1 billion we are already providing to the area, we last week announced an investment package  as part of the City Deal and additional support in key infrastructure in the North East to further emphasis Aberdeen’s status as one of the world’s leading cities for business and industry.

However, while that funding is an unequivocal message of support and confidence in the region, I understand it has been a difficult and anxious time for not only those who work in the oil and gas industry, but also their families.

It has been incredibly tough for many businesses and we are committed to working hand in hand with them to maximise their value and see them through this period of uncertainty.

Our Energy Jobs Taskforce is coordinating action and laying a solid foundation for a truly modernised North Sea oil industry and has helped support more than 2,500 individuals and 100 employers through the current downturn. We recently held a special session of Cabinet centring on the oil and gas industry where we agreed to focus our efforts, along with those of the Energy Jobs Taskforce, on the key areas of skills, exploration, innovation, and access to finance.

People who face losing their jobs in the oil and gas sector will be helped to transition into other energy industry and manufacturing employment through a new £12 million Transition Training Fund, which will help maintain the highly skilled energy workforce in the North Sea region by offering grants to individuals to support their redeployment through retraining or further education

Of course, we welcome recent industry announcements from the UK Government but the substance of the Prime Minister’s announcement contained very few new measures, and he has missed an opportunity to provide the sector with assurance that it needs.

The sector needs and deserves clarity on whether further fiscal reform will be delivered in the March Budget – it did not get that.

The Scottish Government is considering further actions to support the oil and gas sector and the North East of Scotland and will continue to engage in discussions with the industry to help deliver the urgent action required.

Learn more about the First Minister’s trip to Aberdeen.

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