The Two Reasons Energy Is Getting More Expensive (It’s Not Just the Iran War)
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In this video, we’re going to go through two of the other factors (other than the war in Iran) that are causing energy prices in the UK to go up.
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SOURCES
How the Grid Works
Ofgem What is the Price Cap
https://www.ofgem.gov.uk/your-energy-supply/your-energy-bill/energy-price-cap-and-standing-charges-explained
Fuse Energy UK Power Grid Rebalancing
https://www.fuseenergy.com/news/uk-power-grid-balancing
Energy UK Balancing the Grid
https://www.energy-uk.org.uk/insights/balancing-the-system/
Nationwide Energy Utilities What Day-Ahead Prices Reveal About the Energy System
https://www.nationwideutilities.com/insights/understanding-day-ahead-energy-prices-why-tomorrows-power-price-matters-today
NESO The Balancing Act
https://www.neso.energy/news/balancing-act
Institute for Government The UK Electricity Market
https://www.instituteforgovernment.org.uk/explainer/uk-electricity-market
Energy UK Marginal Pricing
https://dev.energy-uk.org.uk/wp-content/uploads/2026/03/Energy-UK-Explains-The-role-of-marginal-pricing-27-March-2026.pdf
News Articles
Bloomberg UK Spent Record £561M to Balance Power Grid in October
https://www.bloomberg.com/news/articles/2026-11-02/uk-spent-record-561-million-to-balance-power-grid-in-october
The Guardian Cost of Balancing Great Britain’s Power Grid Reaches Nearly £50m a Day
https://www.theguardian.com/business/2026/oct/15/cost-of-balancing-great-britain-power-grid-50m-daily
The Guardian The £150bn Megaproject That Aims to Protect Britain From Energy Shocks
https://www.theguardian.com/business/ng-interactive/2026/sep/13/mapped-150bn-megaproject-aims-to-protect-britain-from-energy-shocks
Data Sources
Renewables Map
https://renewables-map.robinhawkes.com/#5.79/54.635/-0.567
National Grid Live
https://grid.iamkate.com/
Government Sources
Review of Electricity Market Arrangements
https://assets.publishing.service.gov.uk/media/640226048fa8f527fe30dbba/review_of_electricity_market_arrangements_summary_of_responses.pdf
0:00 The Two Reasons Energy Is Getting More Expensive
0:57 Marginal Pricing
4:38 Grid Congestion
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