In 2025, wholesale energy prices across the UK and Europe have eased slightly compared to
the peaks of the past two years. However, they still remain above pre-pandemic levels. A
drop in global gas prices and
a stronger shift toward renewables have brought some much-needed stability. Still, the
market is unpredictable—especially during colder months or spikes in demand.
In early 2025, UK wholesale electricity prices averaged between £90–£110
per MWh, depending on region and conditions. For UK businesses, this means your energy costs
may vary if you’re on a
flexible or out-of-contract rate.
That’s why now is the ideal time to explore bespoke business energy deals.
At UtilityFix, we monitor wholesale trends daily to help you compare business
electricity prices
per kWh and compare commercial gas prices UK wide.
Quote now to see if your current tariff is still competitive, or if it’s time for a
switch.
How Wholesale Energy Prices Changed in 2025?
Wholesale energy prices have experienced extreme highs and lows in recent years. Before
2020, they were relatively steady—aside from seasonal spikes due to demand or supply
chain issues.
From 2021 to 2022, prices surged as global gas shortages, the Ukraine conflict, and
post-COVID demand collided. UK wholesale electricity even exceeded £400 per MWh—a
record-breaking high.
By 2023 and 2024, markets began to recover. Europe increased gas reserves, demand
stabilised, and more renewables entered the grid. Still, prices remained elevated. In
2025, we’ve seen signs of
normalisation, with averages returning to the £90–£110 per MWh range.
If your business hasn’t reviewed its tariff since those high-cost years, you could still
be overpaying. Let UtilityFix help you
compare now business electricity and compare now business gas
plans tailored to your usage.
What Is Wholesale Energy?
Wholesale energy is the bulk buying and selling of electricity or gas before it reaches
households and businesses. Energy suppliers purchase it at wholesale
prices from generators or
national markets and then resell it to customers via fixed or flexible contracts.
These prices are influenced by many factors: supply and demand, fuel costs, weather
patterns, and geopolitical events. For example, a harsh winter or increased European gas
demand can send wholesale costs
soaring.
While your business doesn’t buy energy at wholesale rates, these prices
directly affect your bills. Suppliers often pass on rising costs—especially if you're
not on a fixed or bespoke
business gas contract. That’s why it pays to stay ahead of the curve.
Speak to us today to secure a
bespoke business energy plan and lock in a tariff that works for your usage, not just
the market
How Does the Wholesale Energy Market Work?
In the UK, the wholesale energy market price is where electricity and
gas are bought and sold in bulk—usually by energy suppliers before it's
passed on to homes and
businesses. Generators (like wind farms, gas plants, or nuclear stations) sell their
power to suppliers via exchanges or long-term contracts. Prices vary every half hour,
depending on demand, weather,
fuel costs, and supply conditions.
The market operates on the demand and supply model that means when the demand is high or
supply is low then wholesale prices will rise .This is why your bills can fluctuate,
especially if you’re on a
flexible or variable tariff.
Businesses don’t access the wholesale market directly, but its movements greatly
influence the rates you’re offered. At UtilityFix, we keep a close eye
on these price shifts to help UK
businesses compare now business gas and business electricity
tariffs at the best times. Locking in when prices dip can lead to serious
savings.
Who Produces the UK’s Wholesale Energy in 2025?
In 2025, the majority of the UK’s wholesale electricity is generated by a small group of major
energy companies. Leading the pack is EDF, followed by
RWE, SSE, ScottishPower, Ørsted,
Drax, and others like Uniper, VPI, and Triton. Together,
these firms account for around 70–75% of the nation’s electricity supply.
The UK’s energy mix has shifted dramatically. Wind power now leads the
way—producing around 30% of electricity—with both onshore and offshore farms playing a major
role. Gas-fired generation has
dropped to around 25%, while nuclear power contributes roughly 15%. In United Kingdom
electricity generation mix includes significant contribution like Solar ,biomass,hydro and
energy imports
OFGEM 2023 data (latest available in 2024)
Yes Uk has to successfully to discontinue coal power production since 2024 making significant
milestone in energy transition.This marks a major step in the UK's journey toward cleaner
energy.
At UtilityFix, we track these market changes closely
to help businesses secure smarter, bespoke business energy deals that reflect today’s generation
landscape.
Where Does the UK’s Power Come From in 2025 ?
In 2025, the UK’s wholesale energy mix is greener and more balanced than ever before. Wind power leads
the way, generating around 30% of the country’s electricity—thanks to major investments in offshore and
onshore wind
farms. Gas-fired power still plays a role, making up roughly 25%, although its share has steadily
declined.
Nuclear energy remains a key contributor at about 15%, offering consistent baseload power. Meanwhile,
solar energy is growing
particularly during spring and summer months, contributing around 12%. The rest comes from biomass,
hydropower, and electricity imports via interconnectors with Europe.
Importantly, coal has been completely phased out since 2024, marking a major step towards the UK’s net
zero goals.
At UtilityFix, we help businesses align with this evolving energy landscape by offering bespoke business
energy deals that reflect the latest wholesale trends and
How Does the Wholesale Market Affect My Energy Prices?
In 2025, wholesale energy costs make up nearly half of your electricity bill. This is the price your
supplier pays to buy electricity in bulk from generators before it reaches your business or home.
When wholesale prices rise—due to things like global gas costs, weather events, or supply shortages—your
energy bills usually go up too, especially if you’re on a variable or flexible tariff.
But wholesale costs aren’t the only factor. Network charges (to
deliver electricity), green levies, supplier costs, and VAT also shape your final price.
At UtilityFix, we monitor the wholesale market daily to help businesses lock in the
best rates before costs spike. Quote now to see if your current tariff still reflects
today’s market
reality.
What Affects Wholesale Energy Prices?
Wholesale energy prices in UK are influenced by Mix of factors both local
and Global.
The biggest driver is supply and demand —when demand surges
(like during cold winters) or supply tightens, prices go up.
There is major impact of Global gas price since gas fired power stations still generate a large
portion of UK’s electricity . Events like the war in Ukraine or disruptions in LNG supply can
push prices higher.
Weather conditions also matter. Wind and solar are now key parts of the UK’s
energy mix—so a drop in wind generation can lead to more expensive backup power being used.
Add to this the effects of carbon pricing, maintenance outages, and energy
imports, and it’s easy to see why the market is so volatile.
At UtilityFix, we track these trends to help you compare the market at the
right time.Once you compare with our portal you can secure the smarter bespoke business energy
deals.
Should You Switch Energy Suppliers?
Even if prices shift, smart switching can save you £££. Compare trusted UK energy suppliers in
minutes—just your postcode and a few details
Do you want to switch call now 08000129731 or Visit our
site and fill your details our Consultant will call you snd give you best quotation
.
