bp’s overall UK economic impact in 2019 was in line with its average for the period 2014-19 and 7% higher overall since 2014.
Between 2014 and 2019, bp has supported a wide and diverse range of UK suppliers, generating an average annual contribution of:
The productivity of employees through bp’s direct and indirect activity in the UK economy increased by 57% over that period.
In that time, bp has purchased from an average of 3,000 suppliers of operational goods and services. This has increased by over 70% in areas such as the North East. An average of 800 suppliers of capital goods and services has been supported by bp in the same period, with the largest increase being nearly 240% in the West Midlands.
The contribution to UK taxes has remained consistent too, with bp directly bearing or collecting an average of £2.7 billion in tax receipts to the Exchequer each year – around £1 in every £200 overall.
bp’s 2,520 UK suppliers of goods and services in 2019 are distributed throughout the UK, receiving a total of over £5.2 billion.
Some 27% of them were located in London, 21% in the South East, 11% in Scotland and 10% in the East of England.
In 2019, bp spent almost £1.9 billion on capital goods from around 580 UK suppliers. Of these, 23% were in Scotland, 18% were in the London and another 19% were in the South East.
In addition, around £1.2 billion was spent by bp with UK-registered businesses operating abroad.
90,100 British jobs were supported by bp in 2019, with direct UK operations – such as oil and gas fields, petrochemical plants, fuels retailing facilities and major offices – creating £4.2 billion gross value added contribution to UK GDP and employing 15,780 people. This is equivalent to £1 for every £474 of UK GDP in 2019.
The indirect impact of bp procurement of goods and services and capital expenditure supported an estimated additional 74,315 people in the wider UK economy.
Overall, London, the South East and Scotland were the biggest jobs beneficiaries from bp’s direct and indirect impacts. bp supported employment equivalent to 0.6% of all employment in Scotland, 0.5% in London and the South East.
bp Quad XT23 delivered by OneSubsea Aberdeen.
OneSubsea, a Schlumberger company, has worked closely with bp and its regional partners for several years, providing subsea production technology for energy projects worldwide.
The collaboration between bp and OneSubsea has evolved from equipment supply to system solutions, with development teams working together to develop and deliver safe, sustainable, and successful projects. Engagement amongst the companies begins with early concept engineering, continues through the tendering phases, and into project execution.
The OneSubsea UK teams have provided international support to bp in Egypt on the Giza, Fayoum & Raven assets as well as engineering and services to the Shah Deniz Phase 2 project in the Caspian. Additionally, the OneSubsea teams have supported BP regional partner the Pharaonic Petroleum Company (PhPC) on the Atoll & Qattameya fields. Most recently, OneSubsea worked with bp in 2019 to deliver subsea production equipment on the QUAD 204 and the Alligin projects, both located in the West of Shetland region in the UK.
Subsea tree for Quad 204 undergoing System Integration Test (SIT) at OneSubsea Aberdeen facility.
Engagement stand for party conference in Manchester.
In total, this was around £2m of work for the team of 3D designers, producers, graphic designers, sound engineers, lighting designers, showcallers, digital designers, communications strategists, developers, project managers, logistics managers, carpenters, and more.”
Paul Finch, chief production officer
Main set for bp Helios awards, London.
Exhibition and reception area, bp Helios awards, London.
To date, 21 companies have graduated from the award-winning programme, developing ground-breaking technologies including a lab-on-a-chip (RAB Microfluidics), machine learning seismic imaging software (Optic Earth) and a complete oil field well surveillance technology (AI Exploration).
In just two years, £2.8 million has been co-invested into these pioneering companies with a further £1 million of additional investment being secured post-graduation from the programme. Collectively, three field trials have been completed with seven planned over the next year and another 10 on the horizon, while 13 new jobs have been created and two new facilities have been opened.
AI Exploration founders receiving the bp TechX Technology Award at TechX Demo Day.
AI Exploration flow loop facility in Aberdeen.
AI Exploration multiphase measurement spool.
LYTT is enabling the move to predictive analytics within upstream oil and gas using real-time subsurface data. LYTT builds world-leading analytics for data-driven decisions using fibre optic data. Find out more at lytt.com.
A technology company developing ground-breaking land seismic receiver systems that help reduce cost, environmental impact and safety risks without compromising data quality. STRYDE is now rapidly scaling up, offering commercial applications for use in a host of sectors, including hydrocarbons, renewables, geothermal and civil engineering. Find out more at strydefurther.com
A leader in predictive analytics for the wind sector. bp sees huge potential in building a world-class predictive analytics platform serving the growing wind market, including bp’s own wind business, the largest in the US. Find out more at onyxinsight.com
An innovative technology company focused on developing and deploying advanced fibre optic sensing hardware targeting the smart cities, security and oil and gas sectors. Launchpad acquired the business in late 2019 but bp ventures had been an investor since 2013. Find out more at fotech.com
It strengthened its position as the leading public charging operator in the UK, powering up to 1.5 million electric miles a week, and installing over 120 new rapid and ultra-fast chargers, as well as inaugurating the country’s largest universal rapid charging hub and the first ultra-fast charging hub in London.
The company launched its UK-made smart homecharge unit, giving electric vehicle drivers more control over their charging, and unveiled its new 150kW charger, the first two of which have been installed at its new head office in Milton Keynes.
It also signed a major deal with Mitchells & Butlers to install 200 rapid chargers at its pubs and restaurants. Its rollout of 150kW ultra-fast chargers on bp forecourts began in the autumn, with the first four sites going live within four months.
The Electric Vehicle Experience Centre, operated by bp Chargemaster for Milton Keynes council, welcomed its 100,000th visitor since it opened in the summer of 2017 as the country’s only multi-brand EV education and test-drive facility.
bp Chargemaster rapid-charging hub at Milton Keynes Coachway (8 x 50kW).
bp Chargemaster ultra-fast forecourt charging at bp Cranford (2 x 150kW).
bp continued to demonstrate a consistent commitment to UK communities through its support for schools, arts and culture, sport, community organizations and charities.
Building on the Enterprising Science educational research programme to understand how and why young people choose to study STEM subjects, bp continued its relationship with the Science Museum Group as the founding partner of its Academy of science engagement across the UK.
2019 marked the 30th anniversary of bp’s support for the BP Portrait Award at the National Portrait Gallery – the most prestigious portrait painting competition in the world. bp also announced £1 million of funding in support of the redevelopment of Aberdeen Art Gallery.
Following pressure from activist groups, the Royal Shakespeare Company (RSC) took the decision to end its partnership with bp at the end of 2019. Since 2011, bp’s support for the £5 ticket scheme had enabled 80,000 tickets to be used by young people aged between 16 and 25 to experience the RSC’s performances.
Over the five-year period from 2015-19, around 7 million people engaged with a bp-supported cultural activity.
bp continued its support for the British Paralympic Association (BPA), helping it to prepare ParalympicsGB athletes to compete at five Paralympic Games and working to inspire a better world for disabled people through sport.
bp’s UK employees volunteered 51,600 hours and generated over £3.4 million of contributions to community organizations during 2019.
Find out more at bp.com/uk/bpinthecommunity.
Guests listening to British Museum curator at opening of Troy exhibition.
Girl wearing VR headset during Ultimate STEM Challenge final at the Science Museum in London.
Royal Opera House performance of Figaro as part of BP Big Screens series, London.
BP Portrait Award 2019 installation at the National Portrait Gallery in London.
bp Young Scientist Day, Sunbury-on-Thames.
Family exploring bp’s alternative energy model at New Scientist Live in London.
This is the sixth update of the original report by Oxford Economics, bp’s impact on the UK economy, September 2015.
This summary reflects the economic contribution for the calendar year 2019 and can be read alongside the previous reports for a year-on-year comparison. It highlights the consistency of bp’s contribution to the UK economy since 2014.
Much has changed in the world since the start of 2020, including the impact of the COVID-19 pandemic on UK society, and what we see as a structural change in the demand for energy and how it is produced. As a result, we expect to see bp’s UK economic impact change in the future, with this 2019 report likely to mark the end of the previous era.
We are changing profoundly as a company to meet societal expectations. You can find more information on bp’s new purpose – reimagining energy for people and our planet – and how we will deliver on our ambition to be a net zero company by 2050 or sooner, at bp.com/reimagine.
Find out more about the methodology used in performing this analysis.
bp disclaims any obligation to update this publication. Neither BP p.l.c., nor any of its subsidiaries, accepts liability for any inaccuracies or omissions or for any direct, indirect, special, consequential or other losses or damages of whatsoever kind in connection to this publication or any information contained in it.
bp would like to thank its partners in the production of this publication.