The average wholesale electricity price in August 2025 in the United Kingdom is forecast to amount to*******British pounds per megawatt-hour, a decrease from the previous month. A record high was reached in August 2022 when day-ahead baseload contracts averaged ***** British pounds per megawatt-hour. Electricity price stabilization in Europe Electricity prices increased in 2024 compared to the previous year, when prices stabilized after the energy supply shortage. Price spikes were driven by the growing wholesale prices of natural gas and coal worldwide, which are among the main sources of power in the region.

… and in the United Kingdom? The United Kingdom was one of the countries with the highest electricity prices worldwide during the energy crisis. Since then, prices have been stabilizing, almost to pre-energy crisis levels. The use of nuclear, wind, and bioenergy for electricity generation has been increasing recently. The fuel types are an alternative to fossil fuels and are part of the country's power generation plans going into the future.

Electricity prices in Europe are expected to remain volatile through 2025, with Italy projected to have some of the highest rates among major European economies. This trend reflects the ongoing challenges in the energy sector, including the transition to renewable sources and the impact of geopolitical events on supply chains. Despite efforts to stabilize the market, prices in countries like Italy are forecast to reach ****** euros per megawatt hour by February 2025, indicating persistent pressure on consumers and businesses alike. Natural gas futures shaping electricity costs The electricity market's future trajectory is closely tied to natural gas prices, a key component in power generation. Dutch TTF gas futures, a benchmark for European natural gas prices, are projected to be ***** euros per megawatt hour in July 2025. The reduced output from the Groningen gas field and increased reliance on imports further complicate the pricing landscape, potentially contributing to higher electricity costs in countries like Italy. Regional disparities and global market influences While European electricity prices remain high, significant regional differences persist. For instance, natural gas prices in the United States are expected to be roughly one-third of those in Europe by March 2025, at **** U.S. dollars per million British thermal units. This stark contrast highlights the impact of domestic production capabilities on global natural gas prices. Europe's greater reliance on imports, particularly in the aftermath of geopolitical tensions and the shift away from Russian gas, continues to keep prices elevated compared to more self-sufficient markets. As a result, countries like Italy may face sustained pressure on electricity prices due to their position within the broader European energy market.

UK Electricity decreased 27.65 GBP/MWh or 26.99% since the beginning of 2025, according to the latest spot benchmarks offered by sellers to buyers priced in megawatt hour (MWh). This dataset includes a chart with historical data for the United Kingdom Electricity Price.

The price of gas in the United Kingdom was *** British pence per therm in the fourth quarter of 2024. It is anticipated gas prices will increase to *** pence in the second quarter of 2025 before gradually falling to just under ** pence by the second quarter of 2027.
Surging energy costs and the cost of living crisis At the height of the UK's cost of living crisis in 2022, approximately ** percent of UK households were experiencing rising prices compared with the previous month. It was during 2022 that the UK's CPI inflation rate reached a peak of **** percent, in October of that year. Food and energy, in particular, were the main drivers of inflation during this period, with energy inflation reaching **** percent, and food prices increasing by **** percent at the height of the crisis. Although prices fell to more expected levels by 2024, an uptick in inflation is forecast for 2025, with prices rising by *** percent in the third quarter of the year. Global Inflation Crisis The UK was not alone in suffering rapid inflation during this time period, with several countries across the world experiencing an inflation crisis. The roots of the crisis began as the global economy gradually emerged from the COVID-19 pandemic in 2021. Blocked-up supply chains, struggled to recover as quickly as consumer demand, with food and energy prices also facing upward pressure. Russia's invasion of Ukraine in February 2022 led to Europe gradually weening itself of cheap Russian energy exports, while for several months Ukraine struggled to export crucial food supplies to the rest of the World.

UK Gas fell to 77.94 GBp/thm on August 15, 2025, down 1.11% from the previous day. Over the past month, UK Gas's price has fallen 6.85%, and is down 17.84% compared to the same time last year, according to trading on a contract for difference (CFD) that tracks the benchmark market for this commodity. UK Natural Gas - values, historical data, forecasts and news - updated on August of 2025.

The Electricity Supply industry has developed considerably since its liberalisation in 1999. Following a period in which the Big Six suppliers dominated, energy regulator Ofgem endeavoured to introduce greater competition to the market as part of attempts to drive down energy bills. Major mergers and acquisitions effectively brought the dominance of the former Big Six suppliers to an end at the end of 2019-20. Along with weakening electricity consumption, swelling competition has applied further pressure on revenue in recent years. Electricity suppliers' revenue is slated to climb at a compound annual rate of 4.7% to reach £49.8 billion over the five years through 2024-25. The introduction of the standard variable tariff price cap in January 2019 squeezed revenue growth. The pandemic exacerbated the drop in revenue, as widespread tariff reductions compounded the effects of reduced electricity consumption. With suppliers bound by the energy price cap, soaring wholesale prices led to widening operating losses in 2021-22, albeit with a modest revenue recovery. A renewed spike in wholesale prices led to a continued wave of insolvencies among energy suppliers going into 2022-23, with 31 suppliers falling victim to the energy crisis. Soaring non-domestic energy bills and significant hikes to the SVT price cap spurred significant revenue growth in 2022-23, while the transfer of customer accounts from failed suppliers reinstated the dominance of major suppliers. The introduction of the Energy Price Guarantee (EPG) and support for business energy customers prevented energy prices from spiralling out of control going into 2023-24. A faster-than-anticipated drop in wholesale electricity prices has eased pressure on operating profit in the current year, contributing to an estimated 10.1% revenue contraction. Revenue is forecast to sink at a compound annual rate of 0.9% to £47.6 billion over the five years through 2029-30. Prices will remain elevated in the medium term as concerns surrounding supplies of Russian fossil fuels into Europe inflate wholesale costs. Wholesale prices are set to stabilise in the long term, spurring tariff reductions. The continued drop in electricity consumption is also set to limit growth prospects in the coming years.

TTF Gas fell to 30.89 EUR/MWh on August 18, 2025, down 0.46% from the previous day. Over the past month, TTF Gas's price has fallen 6.84%, and is down 21.83% compared to the same time last year, according to trading on a contract for difference (CFD) that tracks the benchmark market for this commodity. EU Natural Gas TTF - values, historical data, forecasts and news - updated on August of 2025.

The average gas price in Great Britain in June 2025 was 86.28 British pence per therm. This was four pence higher than the same month the year prior and follows a trend of increasing gas prices. Energy prices in the UK Energy prices in the UK have been exceptionally volatile throughout the 2020s. Multiple factors, such as a lack of gas storage availability and the large share of gas in heating, have exacerbated the supply issue in the UK that followed the Russia-Ukraine war. This has also led to many smaller suppliers announcing bankruptcy, while an upped price cap threatened the energy security of numerous households. The United Kingdom has some of the highest household electricity prices worldwide. How is gas used in the UK? According to a 2023 survey conducted by the UK Department for Energy Security and Net Zero, 58 percent of respondents used gas as a heating method during the winter months. On average, household expenditure on energy from gas in the UK stood at some 24.9 billion British pounds in 2023, double the amount spent just two years prior.

The electricity delivery process has experienced a major shift in recent years, driven by a push to reduce emissions. Governments across Europe are actively moving away from conventional sources of electricity generation, leading to a decline in the continent's dependency on fossil fuels. According to the International Energy Agency (IEA), renewables accounted for 41.7% of electricity generation in Europe in 2022, up from 32.9% in 2017. The rise of renewables has spurred an influx of renewable generators and necessitated increased investment in electricity networks. This has lifted revenue for transmission and distribution network operators. Revenue is forecast to rise at a compound annual rate of 8.7% over the five years through 2025, reaching €2.8 billion. Falling wholesale prices and a reduction in overall electricity consumption spurred a drop in revenue during the pandemic. Excess demand for natural gas as economies loosened pandemic-related restrictions spurred a strong rebound in wholesale electricity prices in 2021, translating to a jump in revenue. Wholesale prices recorded a renewed spike following Russia’s invasion of Ukraine, spurring a surge in revenue generated by electricity producers and suppliers. Renewable generators were able to rake in extra profit from electricity sold to wholesale markets at inflated prices, counterbalancing a significant rise in costs for fossil fuel generators and electricity suppliers. Wholesale prices have since come down as Europe has diversified its fuel mix away from Russian gas. Revenue is forecast to decline by 5.1% in the current year. Revenue is forecast to increase at a compound annual rate of 0.3% over the five years through 2030 to €2.9 billion. The revised Renewable Energy Directive of the EU has set a goal for 69% of electricity to be generated from renewables by 2030. Electricity generators will continue expanding their renewables capacity, while investment in upgrading the electricity network to accommodate the rapid shift to renewables will boost income for transmission and distribution network operators. Rising renewable electricity generation will place downward pressure on wholesale prices, though the electrification of heat and transport is set to spur an uptick in demand for electricity across the continent.

Spain Electricity decreased 66.59 EUR/MWh or 49.01% since the beginning of 2025, according to the latest spot benchmarks offered by sellers to buyers priced in megawatt hour (MWh). This dataset includes a chart with historical data for Spain Electricity Price.

Greater awareness about the effects of climate change has driven an aggressive decarbonising strategy spearheaded by renewables. Government targets and incentives encourage major investment in renewable assets among UK energy giants. Technology developments have boosted potential generating capacity, particularly in offshore wind, which has grown the fastest of all renewable energy sources. According to the Department for Energy Security and Net Zero, the share of electricity generated by major power producers from renewables surged from 34.5% in 2019-20 to 42.4% in 2023-24. Renewable generators' revenue is slated to climb at a compound annual rate of 8.7% over the five years through 2024-25 to reach £14.5 billion. Growth has been underpinned by the UK’s rapid expansion of renewable generating capacity. Offshore wind has recorded the most significant expansion in generation volumes as investors look to take advantage of technological advancements to tap into the UK's abundant natural resources. Soaring wholesale prices have added to revenue growth since H2 2021-22; however, operators of renewable generation assets that operate under a Contract for Difference (CfD) have been required to pay back the difference between wholesale prices and CfD strike prices, limiting the impact of a surge in wholesale prices on operating profit. Inflation-linked increases to fixed price mechanisms have also boosted growth. Revenue is forecast to jump by 11.4% in 2024-25. Revenue is forecast to swell at a compound annual rate of 11.1% over the five years through 2029-30 to reach £24.6 billion. The UK already has a strong pipeline of renewable assets set for delivery in the coming years, with ongoing government support likely to fuel further investment. In the short term, increased capacity is set against a backdrop of falling strike prices, though the extent of capacity expansion should support further growth. Hikes in strike prices secured in the most recent CfD allocation round will also boost growth in the longer term. Rising battery storage capacity should help support growth in renewables' share of the UK energy mix by reducing barriers associated with intermittent supplies of renewable power.

The United Kingdom's electricity transmission and distribution market revenue stood at roughly **** billion U.S. dollars in 2021. This market is forecast to grow at a compound annual growth rate (CAGR) of *** percent in the coming decade, to reach **** billion dollars in 2030. In 2021, the UK accounted for ** percent of Europe's electricity transmission revenue.

Abstract copyright UK Data Service and data collection copyright owner. The International Energy Agency (IEA) datasets published by the Energy Statistics Division (ESD) contain annual, and a small amount of quarterly and monthly time series data from 1960 onwards. The database covers energy production, trade, stocks, transformation, consumption, prices and taxes as well as on greenhouse gas emissions for over 30 OECD Member countries and over 100 non-OECD countries worldwide. In OECD Member countries the data are collected by official bodies (most often the national statistics office in each country) from firms, government agencies and industry organisations and are then reported to the IEA using questionnaires to ensure international comparability. In non-OECD countries the data are collected directly from government and industry contacts and from national publications. The International Energy Agency (IEA) Electricity Information database contains a time series of electricity statistics of OECD countries for supply, consumption, trade, capacity and price, and some projection data corresponding to the data shown in Part II of the annual IEA publication Electricity Information. Where available, all tables from Part I of the publication are also included. Data are based on submissions from national administrations to the Secretariat. The database contains a time series of annual electricity and heat data for Organisation for Economic Co-operation and Development (OECD) countries from 1960 onwards. The Electricity Information database is structured into eight tables. These data were first provided by the UK Data Service in June 2005 and are updated semi-annually. Main Topics: Topics covered include: electricity supplyelectricity consumptionelectricity tradeelectricity capacityelectricity priceselectricity forecasts

The United Kingdom power market, valued at approximately £X billion in 2025 (assuming a logical estimation based on the provided CAGR and market trends), is experiencing robust growth, projected to expand at a compound annual growth rate (CAGR) exceeding 7% from 2025 to 2033. This expansion is driven by several key factors. Increasing demand for electricity fueled by a growing population and industrial activity necessitates a significant increase in power generation capacity. Simultaneously, the UK's commitment to achieving net-zero carbon emissions by 2050 is accelerating the transition to renewable energy sources, including wind, solar, and potentially tidal power. This transition is attracting substantial investments and fostering innovation within the renewable energy sector. Government policies promoting renewable energy adoption, along with stricter regulations on carbon emissions from conventional power plants, further underpin this market's expansion. However, challenges remain. The intermittent nature of renewable energy sources requires significant investment in grid infrastructure upgrades and energy storage solutions to ensure grid stability and reliability. Furthermore, securing sufficient investment for large-scale renewable energy projects, managing public acceptance of new infrastructure, and navigating fluctuating energy prices continue to pose challenges. Despite these restraints, the UK power market presents significant opportunities for established players and new entrants alike. The ongoing expansion of offshore wind capacity, particularly in areas with high wind speeds, offers considerable potential for generating clean energy. Furthermore, the integration of smart grid technologies and advanced energy management systems is poised to improve efficiency and grid resilience. Companies involved in power generation, transmission, and distribution, including those specializing in renewable energy technologies, are well-positioned to benefit from this growth. The market segmentation into thermal, renewable (hydro, non-hydro), and nuclear power, along with transmission and distribution (T&D), showcases the diverse investment and operational opportunities within this dynamic sector. Companies like Electricite de France SA, Ecotricity Group Ltd, and others listed are key players navigating this complex and evolving market landscape. The forecast period of 2025-2033 promises substantial growth, creating a fertile ground for strategic partnerships, mergers, and acquisitions. Recent developments include: In March 2021, Statkraft, Europe's largest renewable energy generator, announced development plans for three new solar farms in the United Kingdom, two in Cornwall and one in Suffolk. The solar energy farms aim to provide 125.5 MWp of solar capacity, generate nearly 127 GWh of electricity per year, and power nearly 36,000 homes., In January 2022, the UK government announced GBP 100 million (USD 134 million) funding to support the Sizewell C nuclear power project in Suffolk. The funding will be used to continue the development of the project and aim to attract further financing from private investors and secure relevant approvals., In January 2022, SSE announced details of its first solar project that would deliver 30 MW of clean energy as part of its ambitious GBP 12.5 billion investment program to power change toward net-zero. The 30 MW solar farm at Littleton Pastures is located near Evesham, Worcestershire. Once completed in late 2023, the 77-acre site would be capable of powering about 9,400 homes.. Notable trends are: Non-hydro Renewable Power Segment to Witness Significant Market Growth.

Ireland, Italy, and Germany had some of the highest household electricity prices worldwide, as of March 2025. At the time, Irish households were charged around 0.45 U.S. dollars per kilowatt-hour, while in Italy, the price stood at 0.43 U.S. dollars per kilowatt-hour. By comparison, in Russia, residents paid almost 10 times less. What is behind electricity prices? Electricity prices vary widely across the world and sometimes even within a country itself, depending on factors like infrastructure, geography, and politically determined taxes and levies. For example, in Denmark, Belgium, and Sweden, taxes constitute a significant portion of residential end-user electricity prices. Reliance on fossil fuel imports Meanwhile, thanks to their great crude oil and natural gas production output, countries like Iran, Qatar, and Russia enjoy some of the cheapest electricity prices in the world. Here, the average household pays less than 0.1 U.S. dollars per kilowatt-hour. In contrast, countries heavily reliant on fossil fuel imports for electricity generation are more vulnerable to market price fluctuations.