Investments offshore the United Kingdom are seen falling off £1 billion or £1.5 billion to as low as £10 billion in 2007 after the 20 percent hike in spending recorded for 2006, Oil & Gas UK reported Tuesday.

The higher cost of hiring suppliers, smaller finds and the much reduced price of gas mean the prize — up to 25 billion barrels of oil equivalent left in the U.K. North Sea — is under threat from oil company disinterest.

Still, the Kingdom produced 2.9 MMboe per day last year, more than Nigeria, Kuwait and Indonesia with productio seen rising slightly in 2007.