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Energy

UK energy import bills more than double in 2022

UK energy import bills exceeded £100bn for the first time in 2022, prompting OEUK to call on the government to ensure domestic supply

UK energy import bills hit £117bn in 2022, more than double the £54bn spent on foreign fuels a year earlier, according to industry body Offshore Energies UK (OEUK).

This equates to £4,200 per household, it said, adding import bills would likely stay above £100bn each year for the foreseeable future, after breaking triple figures for the first time in 2022.

“Being so reliant on other countries for our energy leaves the UK exposed to disruptions to supply, and volatility in international markets,” OEUK said, urging government ministers to utilise the 15bn oil barrels worth of reserves still in the North Sea, alongside ramping up renewables.

Energy prices soared last year in the wake of the Ukraine war, as gas rose to an August peak of 640p per British thermal unit, though it has now fallen to 98p - below pre-Ukraine war levels.

As a result, UK imports of gas cost £49bn last year, mainly coming from Norway, OEUK said, though more was spent on crude oil at £63bn, with the rest being made up of electricity and coal purchases.

OEUK chief executive David Whitehouse also called on the government to rethink its windfall tax on offshore firms, with total levies sitting at 75%, arguing import bills worth £100bn plus cannot “become a regular event”.

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