UK spending £75bn more on gas because of war in Ukraine, analysts warn


“What would have helped is more British renewable energy and insulating homes.”

Since the start of the Russian invasion of Ukraine on 24 February 2022, the UK has spent an estimated £85 billion on gas, an extra £60 billion.

The ECIU said payments to foreign importers will increase in the coming years unless the UK switches away from gas to more renewables, heat pumps and home insulation.

Ms Ralston said: “A lack of investment over the past decade and recent Government U-turns on policies such as warm home standards for landlords is leaving households vulnerable to volatile prices with 13% of homes now in fuel poverty.

The UK has spent up to £75billion more on gas over the last two and a half years because of the war in Ukraine, energy analysts have said.

The cost of wholesale gas a year was up to £15 billion, the Energy and Climate Intelligence Unit (ECIU) said.

Jess Ralston, energy analyst from the ECIU, said: “Despite 1,000 Terawatt hours of gas coming out of the North Sea since the crisis began, household bills still shot up.

“Prices are set internationally so more drilling won’t protect homes from high bills next time an international crisis comes along.

“The fact that domestic gas use has gone down points to houses making difficult decisions between eating and heating.

“The switch to heat pumps that run on electricity would also help, not least with the UK’s energy independence by reducing the amount of gas we need to buy from foreign suppliers.

“Here again, Government appears to be dithering.”

In 2021 imports from Russia made up 4% of gas used in the UK, 9% of oil and 27% of coal.

Imports of gas, oil and coal from Russia to the UK were worth a combined £4.5 billion in 2021.

This fell to £2.2 billion in 2022 and £1.3 billion in the year to January 2023.

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