Saturday, 27 June 2026
UK power easing on US-Iran relief & heatwave demand drop; storage deficit caps downside
Prices may ease slightly2027 wholesale: £81.48/MWh
Energy prices are a bit lower than they have been this past week, mainly because a deal between the US and Iran has calmed fears about gas supplies being cut off in the Middle East, and the hot summer weather across Europe means people are not burning gas to heat their homes. Prices could ease a little further over the next couple of weeks, but they are unlikely to fall much more because Europe's gas storage tanks are unusually empty heading into winter and that keeps a floor under prices.
What's affecting prices
- •US-Iran ceasefire progress has reduced fears of Middle East gas supply being cut off
- •Qatari LNG shipments showing signs of recovery, easing supply worries
- •Hot summer heatwave across the UK and Europe cutting demand for gas heating
- •Europe's gas storage tanks are unusually low — well below last year and the 5-year average
- •Cable capacity limits on electricity imports from Europe reducing the usual supply buffer
Wholesale pricing based on ICE forward settlements; non-commodity charges from NESO, LCCC, Ofgem and DNO publications. Indicative only — not financial advice.