A global shortage of supply that has been multiplied by the Russia-Ukraine war might intensify the price shock exposure of the UK.

That’s the view of Michael Bradshaw, Professor of Global Energy at Warwick Business School at the University of Warwick, who discussed the implications of Russia’s invasion of Ukraine with ELN.

Professor Bradshaw said: “It’s been a huge shock to everyone. I think most people did not think of an all-out invasion. We are still sort of holding our breath and trying to think about what happens next in terms of energy supplies.

“We have seen a whole host of sanctions, but we stopped short of targeting the flow of oil and gas into the European market and not in the international markets, because I think it’s well understood that that would do a lot of economic damage to the West.

“The energy markets have already been jittery last week, we have seen the oil price going up over a hundred dollars a barrel and in the UK and in Europe, in gas prices, there is a spike.

“One of the things we need to understand is that is happening against the backdrop of a really tight global market, both for oil and gas, which means that there is no easy way of finding alternative sources of supply.”

Watch the video to listen to the entire interview.