Gas prices forecast in the UK 2022-2029
The price of gas in the United Kingdom was 2.11 British pounds pence per therm in 2022/23. While prices are expected to remain high it is anticipated they will haven fallen to slightly lower levels by 2023/24. Combined household expenditure on energy derived from gas reached 19.5 billion British pounds in 2022. Prior to 2022 spending had seen only slight fluctuations, with the most prominent being a jump to 16.7 billion British pounds in 2013. That year corresponds with supply problems from a Norwegian plant – the UK’s lead exporter – and below-average winter temperatures across the country.
Indigenous production set to decline
The fall in natural gas prices is accompanied by declining production levels. With onshore shale gas extraction suspended as of November 2019 and many offshore oil and gas fields depleted, the country is set to become more reliant on energy imports.
Gas prices worldwide
Natural gas prices in Europe tend to be higher compared to those in the U.S. as the latter is a major shale gas producer. In 2030, prices in Europe were forecast to climb to 7 nominal U.S. dollars per million British thermal units, three U.S. dollars more than prices in the North American country.