Update 25.10.2026, 07:15: Alongside the decision, Chancellor John Healey announced a new Energy Wealth Fund within the National Wealth Fund. It will receive £2bn to start with, followed by further tax revenue from North Sea oil and gas. The money is to go to renewable and low-carbon energy across the UK. According to the developer, Jackdaw will create 27 new jobs, protect 273 existing ones and add about £2.9bn to the economy. It is an opportunity for subcontractors from Aberdeen and north-east Scotland. Source: GOV.UK.
On Wednesday 21 October 2026 Energy Minister Miatta Fahnbulleh agreed that the regulator could grant consent for gas production from the Jackdaw field in the North Sea. The field belongs to Adura, a joint venture of Shell and Equinor. According to the government, gas supplies to UK homes and businesses could begin at the end of October, and production is expected to last up to 11 years.
At its peak Jackdaw is expected to raise domestic gas production by about 6%. Saxo Markets analyst Neil Wilson estimates this at about 2% of total UK gas demand. The earlier consent from 2022 was quashed by a court because the environmental impact assessment did not count emissions from burning the gas produced. The new assessment puts them at 35.8 million tonnes of CO2. There is still no decision on the second disputed field, Rosebank near Shetland.
Scottish Secretary Douglas Alexander called the decision “a win for Aberdeen”. Scottish energy minister Stephen Gethins demanded that the benefits stay in Scotland. WWF Scotland and Oxfam Scotland criticised the consent. On the stock market Shell rose about 0.7% and Ithaca Energy about 2.9%. Prime Minister Andy Burnham defended the decision in the House of Commons as “pragmatic”.
Editorial comment
This is good news for businesses in the Aberdeen region – including Polish welders, electricians and service firms working on platforms. But note: according to analysts, Jackdaw alone will not cut energy bills. The field covers a small part of the country’s needs, and gas prices depend on global markets.
What to do
- Service firms in north-east Scotland: check requests for quotes from North Sea operators and subcontractors.
- Do not base your winter budget on cheaper gas – this decision will not change prices quickly.
- Compare business energy contract offers before the Budget on 28 October.
- Follow the decision on the Rosebank field – important for the offshore sector.
What do you think?
Do you feel this in your business? Tell us in the comments below the article. We will cover the most interesting views in future editions.
Sources
- Sharecast: Jackdaw field approved
- Holyrood: UK government approves Jackdaw
- Politics.co.uk: Prime Minister’s Questions, 21.10.2026
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