A recent snapshot survey by Subsea UK has revealed that, while sales have dropped since the oil price collapse, the UKâs subsea industry is maintaining its investment in technology and looking to increase exports.
Around 90% of respondents have seen sales decrease in the last 18 months. Of those, 28% saw sales drop by 30-40% and a further 28% have lost half their revenues with sales decreasing by 50% or more. Almost 6% reported no impact on sales and almost 4% have seen an increase in revenues.
Subsea UK chief executive, Neil Gordon, said: âThe decline in oil price and subsequent industry-wide downturn has seen a massive reduction in CAPEX and OPEX budgets worldwide which have impacted on the subsea sector where we are seeing job losses and the collapse of companies, putting the UK sectorâs enviable world-leading position under threat. The findings from our survey underline the negative impact on revenues and recruitment but they also reveal positive signs of the sector adjusting and adapting to the lower for longer oil price environment which will ensure we are well-placed for the future.â?