Box A: Should the Ban on New North Sea Licences be Ended?

National Institute of Economic and Social Research ()

National Institute Economic Outlook, 2026, issue Spring, 36-42

Abstract: A second energy price shock in four years has again drawn attention to the United Kingdom's energy policy. The government is legally committedto decarbonising the economy and achieving net zero greenhouse gas emissions by 2050 ("Net Zero"). One policy now in focus is the moratorium on granting new licences for exploration and extraction on the UK Continental Shelf (UKCS). This policy has been criticised both for constraining UK economic growth and for being misguided with regard to Net Zero. This box considers the advantages and disadvantages of ending that ban. It assesses the potential fiscal and macroeconomic benefits, and considers how further domestic production would interact with the United Kingdom's decarbonisation and energy-security objectives.

Date: 2026
References: Add references at CitEc
Citations:

Downloads: (external link)
https://niesr.ac.uk/wp-content/uploads/2026/04/Eco ... hcofBgivoaD6nCW1HuPM

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:nsr:niesre:i:springy2026p:36-42

Access Statistics for this article

More articles in National Institute Economic Outlook from National Institute of Economic and Social Research 2 Dean Trench Street Smith Square London SW1P 3HE. Contact information at EDIRC.
Bibliographic data for series maintained by Library & Information Manager ().