United Kingdom

Shell has been present in the UK since 1897. We have explored for and produced oil and gas in the North Sea for more than 50 years. We are one of the region’s biggest producers and supply around 10% of the UK’s total oil and gas needs. We also supply, trade and market products made from oil and gas.

Support activities include our Projects & Technology teams based in Aberdeen and London. They support the delivery of major projects around the world, from developing gas-to-liquids plants to deep-water exploration. Every year Shell spends more than £200 million on research and development in the UK. There is also a treasury team in London that provides cash management and financial services.

Country Financial Analysis

In 2018, Shell paid $135 million in corporate income tax, which relates to profits earned in 2017 in the UK continental shelf. These fields were divested in November 2017. Shell also received a $79 million refund of corporate income tax in respect of the decommissioning of the Brent field. The taxable profits of the remaining portfolio were offset by losses brought forward which resulted in no further corporate income tax payments in 2018.

In the UK, Shell is also subject to petroleum revenue tax (PRT) on several fields. When a company in the UK incurs losses for PRT purposes, these can be rolled back and the previous year’s tax is refunded. The income received from these refunds is taxed at 40%. During 2018, Shell received PRT refunds in the UK. These included around $95 million relating to the decommissioning of the Brent and Miller fields, and around $150 million (including interest) related to the Fulmar field which was sold to Repsol in 2007.

Our Payments to Governments Report for 2018 also shows around $6.2 million in fees paid.