Saturday, 23 May 2026
Spot spike ~17% above weekly mean as Iran risk premium lingers; curve easing on peace-talk hopes
Prices may ease slightlyCal-27 wholesale: £81.48/MWh
Energy prices are noticeably higher than usual right now, mainly because fighting in the Middle East has disrupted global gas supplies and made it more expensive for Europe to buy the gas it needs — and the UK relies heavily on gas to make electricity. Over the next week or two prices may ease slightly if peace talks progress further, but they are likely to stay well above where they were at the start of the year.
What's affecting prices
- •Middle East conflict has shut a major global gas shipping route, making gas more expensive across Europe
- •Europe's gas stores are dangerously low — well below where they should be for this time of year
- •Very light winds across the UK this week mean gas power stations are doing more of the work
- •Peace talks between the US and Iran are making some progress, which is pulling prices slightly lower
- •Warm, high-pressure weather expected — lower heating demand but also less wind generation
Wholesale pricing based on ICE forward settlements; non-commodity charges from NESO, LCCC, Ofgem and DNO publications. Indicative only — not financial advice.