The North Sea needs continued investment from businesses and government through its current period of transition, according to a new report from Deloitte, the business advisory firm.

Deloitte's Petroleum Services Group's latest North West Europe Review, which details drilling, licensing, and deal activity across the region for the whole of 2014, follows a year of change on the United Kingdom Continental Shelf (UKCS), along with volatility in commodity prices over the last five months.

The report found that 40 wells were drilled offshore UK throughout the year. This is down on the 50 wells reported in 2013 but largely consistent with expectations given recent trends and market conditions.

Following broad acceptance by government and industry of the recommendations made in Sir Ian Wood's 'UKCS Maximising Recovery Review', subsequent changes have included adjustments to the North Sea's tax regime and the establishment of a new industry regulator, the Oil and Gas Authority (OGA).

Tags: Deloitte