THE results of the latest in the closely watched oil and gas survey series for Aberdeen and Grampian Chamber of Commerce may boost hopes the worst of the downturn in the North Sea is over.

However, they contain nothing to suggest there is any prospect of a return to the boom conditions seen before the crude price plunged in 2014 or that the steep fall in sector employment since then will be reversed.

The positives include the fact the percentage of services firms that are more confident about their prospects in the North Sea than last year exceeded that feeling less bullish by 28 per cent, the best score since 2013.

This may indicate that firms that operate fields are easing pressure on the supply chain after three years of cut backs.

Yet 52 per cent of services firms had not seen any improvement in the North Sea in spite of the partial recovery in the crude price since November. Many are eyeing overseas markets, as investment increases in areas such as Asia.

Energy consultancy Wood Mackenzie’s prediction that firms will cut spending on legacy oil and gas assets to fund investment in renewables highlights the pressure on the mature assets that abound in the North Sea.

It is scant comfort the outlook for jobs is less grim than last year. Firms that operate fields expect a two per cent reduction in headcount over the next year, after a 15 per cent cut in the 12 months to October.

Services firms may grow their employee count by an average 0.8 per cent but that follows a seven per cent cut in the year to October.