Gas supplies are not running out says Labour

Staff
By Staff
4 Min Read

Labour says the UK’s gas supplies remain secure as conflict involving Iran continues to rattle global energy markets.

Officials from the Department for Energy Security and Net Zero said Britain benefits from a diverse energy system and does not rely heavily on gas from the Gulf.

Britain imports some liquefied natural gas from the region but most supply comes from a combination of domestic North Sea production, pipeline imports from Norway and interconnectors with Europe.

DESNZ also pointed to the country’s three LNG terminals which allow shipments from a wide range of global suppliers.

Government figures show only around 1% of the UK’s gas supply came from Qatar in 2025 adding there is no reason to expect that proportion to change significantly in 2026 or beyond.

Ministers said the biggest long term threat to our energy security remains reliance on volatile international fossil fuel markets. They argue that expanding domestic clean energy is the most effective way to shield households and businesses from global price shocks.

The government said it is delivering what it described as the biggest investment in homegrown clean power in British history. That includes the latest renewables auction which ministers say demonstrated offshore wind is now around 40% cheaper to build and operate than new gas power stations.

The statement also highlighted planning approvals for enough wind and solar generation to power the equivalent of 8.5 million homes.

The government said nuclear energy will also play a central role with what it called a record investment in the largest nuclear building programme for half a century.

Ministers also sought to reassure households about the immediate impact on energy bills.

The energy price cap will remain in place until July which limits the rate suppliers can charge customers on standard tariffs.

Officials said the cap will fall by 7% between April and June equivalent to £117 a year for a typical household.

However the government acknowledged that wholesale gas prices remain the main driver of household energy costs.

If global prices remain high ministers said this could eventually feed through into future energy bills.

However Labour stressed that expanding North Sea production would have little impact on global energy prices.

The UK accounts for less than 0.7% of global oil and gas output meaning ministers said Britain is largely a price taker in international markets.

They said existing North Sea fields will continue operating under new Transitional Energy Certificates designed to support production during the shift to cleaner energy.

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