Gas prices could fall, according to Inenco’s Y report.

Energy trader Dorian Lucas said the UK has received excess gas from Norway and Germany which could force prices lower.

He added: “We’ve seen a lot more gas come to the UK that would normally go to the continent. Further to that LNG, although it’s lower than we’ve been getting over recent weeks, we’re still getting quite a lot with two cargoes expected this week.”

Mr Lucas insists customers looking to place fixed price contracts should do it “as soon as possible” as the October deadline is close and prices are still “relatively close to contracts lows”.

He added: “Those customers with flexible contracts, those with high levels of exposure, again you need to place some volume going forward or maybe sit on your hands this week and maybe wait for a retrace in the market. Look for that market correction before you start taking volume.”

Customers who are happy with the hedges should also “wait and see how far this market can fall once it starts retracing these gains”, he said.