The Future of UK’s Offshore Energy Supply Chain: A Call to Action
With research showing that nine out of ten companies perceive business playgrounds in other countries as better suited for investment and growth, Britain’s trade body for the offshore energy industry, Offshore Energies UK (OEUK), has warned the UK government about the looming uncertainty surrounding the future of the nation’s offshore energy supply chain.
Key Takeaways:
- UK’s energy supply chain at risk
- OEUK urges Britain’s government to prevent supply chain from moving abroad
- Domestic supply chain essential for energy security and sustainability
After its sentiment survey showed that 90% of the UK’s offshore energy supply chain companies see more attractive opportunities to grow their businesses overseas due to uncertainty and “a less positive business environment at home,” Offshore Energies UK’s ‘2025 Supply Chain’ report emphasizes the importance of building on Britain’s unique industrial strengths in energy production.
Katy Heidenreich, OEUK’s Supply Chain and People Director, emphasized the need for energy policy that supports both oil and gas and renewable energy investments to grow the UK’s economy sustainably.
While many companies in the supply chain are looking towards overseas markets, OEUK stresses the potential of the UK’s offshore energy industry to drive secure, sustainable, and cleaner energy production. However, pragmatic policies and projects are necessary to anchor these companies in the UK.
The report highlights barriers such as low revenues from renewables and declining investor confidence, proposing industry collaborations and government support in offshore wind, hydrogen, and CCS to unlock a homegrown energy future.
OEUK’s report also acknowledges the challenges faced by the British supply chain and outlines initiatives to foster collaboration and promote good procurement practices to support the industry’s growth and sustainability.
Heidenreich further emphasized the importance of creating a positive business environment in the UK to support the supply chain, which plays a crucial role in sectors like steel, cement, and car manufacturing.
The report underscores the need for a sustainable future that enables the supply chain to remain anchored in the UK while adapting and growing with new energy opportunities.