Electricity prices traded within a small range during Q3 trading between £44.50 and £50.25 to finish the quarter a few percentage points lower than end Q2.
End point prices for electricity were as follows;
Oct 21 Annual – £46.61
Apr 22 Annual – £46.94
Oct 22 Annual – £47.36
Apr 23 Annual – £47.80
Gas prices continued to remain low with healthy European, Russian and Norwegian flows complimenting LNG deliveries. With Q4 coming and the potential for further lockdowns there is a strong possibility that wholesale gas markets will remain depressed until there is a clear path for the full re-opening of both UK and World economies.
With demand levels still yet to return to pre-pandemic levels and the economy still far from a full recovery it is very possible that we will see a quieter than average Q4 and potentially a continuation of lower prices.
The message from Business Renewals is still buy and if possible buy your contracts as long as possible.