ALMOST half of oil and gas firms say the Scottish referendum is hitting investment plans, a report has warned.

The Oil and Gas Survey, conducted by Aberdeen and Grampian Chamber of Commerce and law firm Bond Dickinson, says the offshore sector is facing uncertainty over potential political effects.

Bond Dickinson has offices in Stockton and Newcastle.

The report said views on Scottish independence remain split, with 38 per cent of respondents saying independence would make little difference, and 12 per cent believing it would prove negative.

Almost half of respondents were also unsure of the implementation of the Wood Review, which includes calls for revision of the fiscal regime.

Uisdean Vass, Bond Dickinson oil and gas partner, said: “With the referendum on Scottish independence getting ever closer, the uncertainty arising from the actual referendum process has caused more angst among oil and gas companies than the prospect of an actual vote.

“Rising costs, falling production and a lack of exploratory drilling are the dark clouds over the North Sea.

“However, the Wood Review, in spite of the challenging nature of some of its goals, could provide a platform to positively revolutionise the province.

“These proposals, if implemented, have the potential to rival independence itself in importance, and we are constantly being asked by clients to advise on their potential implications for businesses.”

“The shortage of skilled labour and loss of staff to competitors is a key challenge to the sector and it is encouraging so many companies are increasing their investment in staff training, as well as developing new markets and research and development.”