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Where does the UK get its gas from and why are prices going up so much?

A lit ring on a gas hob.
Gas shortages could be leading to the potential for blackouts this winter. (Picture: Yui Mok/PA Wire)

As the cost of living crisis continues to be a major concern for many in the UK, people are already thinking ahead to the autumn and winter months.

As households will rely on using more energy to stay warm, for some, it will be a tough decision between going cold or getting into financial stress.

The energy price cap was due to increase by 80% in October, before the government was forced to intervene and introduce a £2,500 typical-use cap.

The Chief Executive of the National Grid has recently warned that the UK may face blackouts over the winter months, with John Pettigrew warning rolling blackouts could be imposed between 4pm and 7pm on ‘really, really cold’ January and February days if supplies of gas fall short.

Sudden increases in energy costs have prompted some to consider just where the UK gets its gas and energy from, and why the demand has suddenly increased so much.

Here’s all you need to know…

Who supplies gas and energy to the UK?

Gov.uk explains that the ‘single largest source of gas is from the UK Continental Shelf and the vast majority of imports come from reliable suppliers such as Norway.’

The UK gets a highly diverse supply of energy sources which ‘include pipelines from the UK and Norway continental shelf, interconnectors with the continent, and 3 liquified natural gas (LNG) terminals, providing Britain with one of the largest LNG import infrastructures in Europe.’

John Pettigrew, chief executive officer of National Grid Plc, departs Downing Street following a business advisory group meeting in London, U.K., on Thursday, July 20, 2017. U.K. Prime Minister Theresa May chaired the first in a regular series of meetings of the business council in her official Downing Street residence, with discussions focussed on the terms of the U.K.s withdrawal from the European Union, and wider economic issues such as the governments industrial strategy. Photographer: Chris Ratcliffe/Bloomberg via Getty Images
John Pettigrew, chief executive officer of National Grid Plc, has warned we could face rolling blackouts in the coming months. (Picture: Bloomberg via Getty Images)

Why are gas prices going up?

Per the Office for National Statistics (ONS), the increase in gas prices started at the end of 2021 andwas down to ‘increased global gas demand following the easing of coronavirus pandemic restrictions, lower domestic renewable energy production and higher gas demand in Asia among other factors.’

The Russian invasion of Ukraine has also had an impact on what we pay for gas.

Having destabilised existing European gas supply chains, the UK and other European economies have been left seeking alternatives to Russian gas imports, further pushing up gas prices.

The ONS also explain that ‘Russia supplied 24.1 percent of the UK’s refined oil imports in 2021, however, Russia fell to the sixth-largest import source for refined oil in April 2022 as importers seek alternatives following the Russian invasion of Ukraine.’

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