• The value of the goods and services that are bought in by Tier 1 suppliers in servicing their Cuadrilla contract. These are not included in the Gross Output/GVA estimates based on first round impacts but provide an additional injection into the UK
economy, and to some extent that of Lancashire. To model these impacts we have made use of the government’s UK input-output analytical tables. More specifically we have studied supply chain expenditure and found that a relatively high share of
all bought in goods and services is in the form of additives, aggregates, various forms of components and equipment, fluids and plant hire. The input-output analysis shows that for every £1 spent in the UK economy, the total effect is an increase in
output in the UK economy of £1.70 on average across the sectors most closely aligned with the goods and services listed above. This figure is for the UK economy. An estimate is provided for the Lancashire level by looking at the share of all UK
suppliers based locally. The percentage of these second round effects assumed to flow into Lancashire is a very modest (5%) this is based on the fact that Lancashire accounts for 3% of all firms in the UK