General · 12 March 2026
Why UK Energy Prices Are So Vulnerable to Global Shocks
The UK's energy system faces higher risks from global price surges, like those fuelled by Middle East conflicts, because gas-fired power sets its electricity prices. Around 30% of UK electricity comes from gas, significantly more than many European countries. This high reliance means global gas shocks hit UK prices harder, threatening to push inflation higher and impact economic growth, with household costs expected to rise from July.
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