The Latest Business & Commercial Gas Prices - UK Business Gas Prices are determined in a traded market where the price is set by the marginal gas transaction. When the first pipeline between the UK and continental Europe was opened in 1998 a link was established between UK Commercial Gas Prices and the oil indexed prices in continental Europe. The introduction of LNG to the UK adds a more global component to UK gas prices. In the future the UK will be competing with US and Asian markets for LNG cargoes that can, to some extent switch between destinations across the globe.
The UK natural gas market therefore faces a paradigm shift both in supplies, a move from domestic gas production to global imports, and in prices, with a growing link to global gas and oil prices as you can see in our wholesale gas price graph.
Whilst the absolute gas price level has increased materially recently, the rise in gas prices has been in line with changes in oil prices so the parity of gas relative to oil prices is within a historically observed range. The growing reliance on imports means the outlook is for a significant increase in out turn gas prices although it is expected to remain below parity with crude oil prices. In addition to this the recent ability to extract US shale gas reserves has had a significant impact on the supply and distribution of gas around the world and with recent government policy giving the green light to start extraction in the UK, then we can expect some kind of impact here. But as to what extent if any this will have on the UK wholesale market price is yet to be seen.
With wholesale gas pricing changing throughout the day it can be extremely difficult to keep up to date with the latest trends int he pricing market. We offer a comprehensive commercial gas consultancy service that helps you find the right commercial gas and business gas contracts. Our commercial gas consultants will search the UK’s top wholesale gas suppliers to find the cheapest gas prices allowing you to quickly compare your current gas rates UK cost with our range of wholesale gas prices and compare gas prices per kwh on your business gas quotes. You will see some interesting spikes in the industrial gas prices over the years as major world events have impacted on our wholesale gas prices graph 2012 for examle and again on the wholesale gas prices 2013 report.