Low Gas Storage Levels Could Drive Prices Up, Experts Warn

Experts have warned that the current low levels of natural‑gas storage could drive prices higher, potentially pushing up household energy bills. Analysts from the Energy Institute and several market research firms noted that storage volumes are below the 10‑year average, and that any further drawdown could tighten supply and lift spot market prices. The warning comes after a series of price spikes in the past months, which have already pushed average UK gas prices above £5 per megawatt‑hour.

The forecast comes at a time when the government is reviewing its energy‑price cap and considering additional support for vulnerable consumers. Market participants say that if storage levels do not recover before the winter, the cost of heating could rise significantly, especially for households that rely on gas boilers. While the government has pledged to monitor the situation closely, the experts suggest that without a substantial increase in storage or new supply, consumers may face higher bills in the coming months.