Monday, 17 August 2026
UK power firmly bid: Hormuz LNG crunch drives NBP +97% YoY, storage at 59%
Prices rising sharply2027 wholesale: £84.48/MWh
Energy prices are noticeably higher than usual right now, mainly because a conflict in the Middle East is blocking gas tanker ships from reaching Europe, meaning gas is scarce and expensive, and gas-fired power stations set the price of electricity in Britain. Unless those shipping routes reopen or the weather turns windy soon, prices are likely to stay high — and could rise further as winter approaches.
What's affecting prices
- •Middle East conflict blocking gas tanker ships through the Strait of Hormuz
- •European gas storage well below normal for this time of year (~59% vs historical average)
- •Nuclear power stations offline for maintenance, tightening electricity supply
- •Gas prices nearly double what they were a year ago, pushing up power costs
- •Heatwave in Southern Europe increasing demand for gas-fired electricity for air conditioning
Wholesale pricing based on ICE forward settlements; non-commodity charges from NESO, LCCC, Ofgem and DNO publications. Indicative only — not financial advice.