Power prices in Britain are predicted to remain high until the late 2030s according to Energy Live News who were reporting on the latest forecast by Cornwall Insight.

The ‘surging demand for power’ is the key factor in keeping the power prices high, partly due to increased adoption of electric heating and transportation which puts additional pressure on the National Grid.

According to the report, the introduction of low carbon energy sources is expected to cause prices to fall below £100/MWh by 2028, two years earlier than previously anticipated. The continued transition to cost-effective renewable energy sources, coupled with the expansion of the electrification of the economy, will have an impact on prices.

Tom Edwards, Senior Modeller at Cornwall Insight, was quoted by Energy Live News: “The challenges of rising power demand, increasing exports and reliance on gas continue to keep our power price forecasts above historical levels for many years to come.

“Despite these concerns, we continue to be optimistic about the positive impact of low carbon, cost-effective energy sources and favourable gas price trends.”

You can read the full report here.