Friday, 17 July 2026
UK power near 30-day highs; Middle East LNG risk and tight EU storage drive gains
Prices rising sharply2027 wholesale: £84.48/MWh
Energy prices are noticeably higher than usual right now, mainly because fighting in the Middle East has disrupted gas supplies that Europe relies on to keep the lights on, and those higher gas costs are feeding directly into electricity bills. We expect prices to stay elevated — and possibly rise further — over the next week or two unless there is a sudden easing of tensions or a big jump in wind power across the UK.
What's affecting prices
- •US military blockade of Iranian ports has cut off gas shipments that Europe was counting on
- •Europe's gas storage tanks are lower than usual for this time of year, increasing competition for supplies
- •Norwegian gas pipeline problems (Asgard field) reducing gas flowing to the UK and Europe
- •Very low wind and solar generation in the UK recently, meaning more expensive gas power stations are running
- •Hot weather in Europe reducing nuclear power output in France, increasing gas demand
Wholesale pricing based on ICE forward settlements; non-commodity charges from NESO, LCCC, Ofgem and DNO publications. Indicative only — not financial advice.