UK ramps up gas and oil exports to EU amid Russia’s war in Ukraine
The UK has drastically increased the volume of natural gas being pumped to the EU amid Russia’s war in Ukraine, powering a record monthly rise in goods exports to the continent despite Brexit.
Figures from the Office for National Statistics show EU goods exports rose for the third consecutive month to £16.4bn in April, the highest monthly level in current prices since comparable records began in 1997.
Reflecting the impact of the war in Ukraine as EU nations seek to diversify energy supplies away from Russia, the data suggests the UK is acting as a hub for liquified natural gas (LNG) imports from the rest of the world before pumping it through pipelines to the continent.
UK fuel exports rose by £500m on the month, driven by gas and crude oil to the Netherlands and Ireland, in a sign of heightened demand on the continent to refill gas storage sites ahead of the winter.
Much of the rise in total goods exports was driven by the rising value of fuel prices, rather than volumes of other products. After adjusting for inflation, goods exports were the highest since December 2020, the last month before the Brexit transition ended.
Vladimir Putin’s invasion of Ukraine has contributed to a dramatic rise in global energy prices amid concern over the security of supply, fuelling the highest rates of inflation for decades in several countries including the UK. EU nations reliant on Russia for much of their energy have sought alternative supplies while reducing imports in response to the war.
Analysts said EU countries such as Germany lacked LNG terminal facilities. Jack Sirett, the head of dealing at Ebury, a financial services firm, said: “The UK is a key global importer of the fuel which it then exports to Europe via pipeline,
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