Hopes of significant price falls to our energy bills in the wake of Scottish Power’s 10% cut on fixed-rate tariffs could be killed by the Russian energy crisis. Russian gas is piped through the Ukraine throughout Europe - and this supply line could soon be cut. Will Britain’s gas run out? Will the cost of home energy soar? And what can you do? Find out
Despite some UK energy suppliers cutting the cost of gas this week, a row between Russia and the
Ukraine has made the chances of future price cuts less likely.
The EU depends on Russia for about a quarter of its total gas supplies, some 80% of which is
pumped through Ukraine. But Russia and the Ukraine have become embroiled in a disagreement about
unpaid bills and prices.
Russia cut deliveries to the Ukraine last week and this week has seen supplies to Bulgaria,
Greece, and the Former Yugoslav Republic of Macedonia stop completely. Bulgaria says its supplies
will last for just a few days.
Find the cheapest
energy tariffs with our search
Will UK gas prices soar?
The row means UK customers could see energy prices rise in the short term at least - at a
time when it was widely expected that bills would fall.
Gas wholesale prices have fallen in recent months and energy suppliers have just started to
reduce prices accordingly. Scottish Power, for example, slashed its fixed rate tariff by 10% this
week. Other suppliers have promised to reduce prices by the spring at the latest.
Before developments in Ukraine, analysts had forecast average bills would be cut by between
10% and 20% - but the current standoff will leave many British energy suppliers reluctant to commit
to substantial cuts in household bills.
So could our gas supplies actually run out? The UK’s storage infrastructure is much less than
that of other countries. Britain has enough stored to meet peak winter gas requirements for 15
days, compared with 80 days in France.
Print this page
| Page 1 of 3| Which firms are charging most for power?
