Osborne unveils packages for science, industry and regions in Budget

Delivering his last budget speech before the general election, the chancellor also pledged new investments and financial incentives for manufacturing, science and the so-called Northern Powerhouse.

Osborne reminded parliament of field allowances that have led to £15bn of capital investment in North Sea fields last year, and the Office of Budget Responsibility estimate that today’s measures will boost North Sea oil production by 15 per cent by the end of the decade.

Osborne said: “The fall in the oil price poses a pressing danger to the future of our North Sea industry – unless we take bold and immediate action.

“First, I am introducing from the start of next month a single, simple and generous tax allowance to stimulate investment at all stages of the industry.

“Second, the government will invest in new seismic surveys in under-explored areas of the UK Continental Shelf.