Friday, 10 July 2026
UK power surges on Middle East re-escalation, storage deficit & NW Europe heatwave
Prices rising sharply2027 wholesale: £84.48/MWh
Energy prices are noticeably higher than usual right now, mainly because fighting has flared up again in the Middle East, which threatens the ships that carry gas to Europe, and Europe already has much less gas stored than it normally would at this time of year. Expect prices to stay elevated — and possibly rise further — over the next week or two unless the international situation calms down.
What's affecting prices
- •Fresh fighting between the US and Iran, threatening gas ships passing through the Strait of Hormuz
- •Europe's gas reserves are around 15% below normal for this time of year
- •A summer heatwave across Europe is pushing up demand for air conditioning powered by gas
- •Norwegian gas pipeline maintenance cutting supplies into the UK and Europe
- •Less wind forecast for the UK from around 6 July through mid-month, meaning more gas-fired power stations needed
Wholesale pricing based on ICE forward settlements; non-commodity charges from NESO, LCCC, Ofgem and DNO publications. Indicative only — not financial advice.