Energy Market Update 03/03/2026

Welcome to our weekly energy market update, where we share the latest trends, shifts, and key developments impacting the energy sector. Whether it’s fluctuations in oil and gas prices, changes in renewable energy policies, or updates on energy infrastructure projects, we’re here to help you stay informed. Join us as we break down the most important factors influencing the market this week, and explore what these changes could mean for your business.

Current Market Drivers:

Following the targeted killing of a senior Iranian military leader, widely reported to involve the US and Israel, tensions across the region have escalated. This has included attacks on UK and US bases over the weekend and into Monday.

These developments have had a significant impact on European energy markets:
Day-ahead gas prices: +50% 📈
Winter 2026 futures: +25% ⛽
Winter 2028 futures: +30% ⚡
(compared with close of business on Friday)

🚢 Key factors contributing to this sharp increase include:

• Shipping disruptions through the Strait of Hormuz due to heightened risks
• Qatar Energy’s announcement on Monday that it is halting LNG production. Qatar supplies around 20% of global LNG

We will continue to monitor the situation closely and provide updates on any significant changes affecting UK gas and electricity prices.

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