Hydraulic fracturing (fracking) is the technique of drilling down into the earth and injecting fluid (a mixture of water, sand and toxic chemicals) into the ground, at a very high pressure, in order to fracture shale rocks to release the natural gas and oil inside and let it flow out to the head of a well.
By drilling horizontally into the rock layer, fracking allows drilling companies to access hard to reach resources of oil and gas and the possibility of shale gas; securing energy supplies which will significantly contribute to the UK’s energy needs in the future.
The Government have already licensed more than 37,000 square meters of land for exploration, constituting about half of the acquired land in Great Britain. The industry remains committed to pursuing shale gas in Britain, with the Government looking to grant licenses for energy companies to explore up to 65% of rural Britain in the search for gas.
But there are environmental concerns with fracking; the chemicals that are used, earthquakes and subsidence, all of which are causing potential buyers to pull out of the purchase after discovering that fracking could take place nearby.
And it’s no wonder when property experts are warning that people who live in and around the drilling sites could lose up to 30% of the value of their homes and potentially cause the housing market to collapse in parts of the country. If property prices were to decrease by 2% in these areas then the cost to the UK economy could be around £75 billion.
Other property experts have raised the fear that the price could drop as much as 30%, the same amount that homeowners residing near the proposed HS2 railway line are faced with.
Recently the Government report into fracking revealed that they estimated a 7% reduction in the value of property within a mile of a drilling site. The outcome remains to be seen, but it is apparent that there will be an impact on the valuation of property near a fracking site.
With the risk of earthquakes, subsidence and an exposure to chemicals it’s advisable to check any property you are purchasing isn’t near a site earmarked for fracking.
To read more about how homes can be affected in your area visit:
http://www.express.co.uk/news/nature/591985/Fracking-house-value-collapse-environment
