UK power demand nears seven-year high amid severe winter conditions

8 January 2026

UK electricity demand has surged to levels not seen since 2018 as an Arctic cold snap gripped the country, with temperatures plunging to -12.5°C, the lowest recorded this winter, according to figures from the National Electricity System Operator (NESO). The extreme weather, combined with limited renewable output, has placed significant strain on the national grid and driven wholesale power prices sharply higher.

Peak electricity demand reached 44 gigawatts (GW) on Tuesday morning. On Monday, demand hit 47.3GW, the highest since March 2018. Renewable sources supplied just 23% of demand on 5 January, leaving gas-fired generators to meet the bulk of the load.

NESO intervened in interconnector markets to reduce exports to Belgium, the Netherlands and Denmark. Volumes that had been scheduled to leave the UK from 5:00am were curtailed through competitive auctions, with prices reaching up to £1,040 per megawatt-hour. These measures were intended to relieve pressure on domestic generation but contributed to sharp price increases in neighbouring markets.

The Netherlands, for example, saw imbalance prices rise above €4,000 per megawatt-hour as local generators, already supplying other countries, faced shortfalls caused by the weather and reduced wind output.

The cold conditions are expected to continue until at least 11 January. Forecasts suggest wind generation could fall to as little as 2GW on 8 January, further limiting the contribution from renewables and maintaining pressure on gas-fired plants. Analysts warn that elevated demand and high prices may persist, particularly during periods of low wind and heavy snowfall, with Storm Goretti forecast to affect parts of the UK later this week.

The combination of sustained low temperatures, constrained renewable output and interconnector management reflects ongoing challenges for the UK power system in responding to extreme winter weather.