SEAFARERS' EARNINGS DEDUCTION

That this House notes with concern the decision of HM Revenue and Customs to reclassify certain seagoing vessels supporting the North Sea oil and gas industry as offshore installations; further notes that this will result in the seafarers on board becoming ineligible to claim the Seafarers' Earnings Deduction (SED); believes that seafarers who are not directly involved in exploiting mineral resources by means of a well should continue to be eligible to claim the SED; further notes with concern the financial hardship which any retrospective tax liability would place on the families of those affected by any such change; recognises the role that the SED has played in fostering a strong domestic maritime skills base; and calls on the Government to clarify its position on the SED as it affects the oil and gas industry as a matter of urgency.