Thursday, 25 June 2026
Heatwave lifts spot 35% above monthly norm; gas geopolitical premium fading fast
Prices may ease slightly2027 wholesale: £81.48/MWh
Energy prices are noticeably higher than usual right now, mainly because the UK and Europe are going through a heatwave — people and businesses are using a lot more electricity to cool down, and that pushes prices up sharply in the short term. Over the next week or two, prices are likely to ease back as the hot spell passes and the situation in the Middle East continues to calm down, though bills from July onwards will still be higher than they have been this spring.
What's affecting prices
- •Heatwave across the UK and Europe pushing electricity demand sharply higher
- •French nuclear power plants running at reduced output due to extreme heat
- •Middle East peace talks easing worries about gas supply through the Strait of Hormuz
- •European gas storage well below normal for this time of year — winter supply risk remains
- •Energy price cap rising 13% from 1 July, driven by earlier wholesale gas price spike
Wholesale pricing based on ICE forward settlements; non-commodity charges from NESO, LCCC, Ofgem and DNO publications. Indicative only — not financial advice.