UK: Gas and electricity prices during the ‘energy crisis’ and beyond

Both gas and electricity prices have increased substantially since 2021. Prices of electricity generated by gas effectively set the wholesale price for all generation, so there is a close link between the price trends of the two fuels. However, the increase in prices during the ‘energy crisis’ was larger for gas. Unit prices for gas under the direct debit price cap were 3.3 p/kWh in summer 2021, 7.4 p/kWh under the summer 2022 cap and 10.3 p/kWh under the EPG. The total increase over this period was 210%. They would have increased further to 17.1 p/kWh in the first quarter […]