Jackdaw will have little macroeconomic impact

The UK government’s decision to allow production at the Jackdaw North Sea gas field is unlikely to have a material impact on the UK economy. It should provide a modest boost to domestic gas production, exports and the current account, while improving energy security at the margin. But a more significant change could require a shift in the government’s stance on new oil and gas licences. For now, there is little to suggest that this is likely.