Heightened cooperation between the UK and the EU could bring substantial benefits in terms of energy trading and carbon pricing.

The report by the trade association Energy UK reveals the potential to slash wholesale energy costs by hundreds of millions of pounds annually, leading to reduced bills for customers.

The analysis reveals that the energy partnership between the UK and the EU has the potential to reduce energy costs by up to £1.1 billion annually.

Energy UK says embracing positive and proactive cooperation with the EU could expedite the UK’s journey to net zero, bring about lower energy bills through enhanced efficiencies, mitigate carbon leakage and strengthen energy security.

Adam Berman, Deputy Director of Energy UK, emphasised the potential savings for households and businesses struggling with high energy bills.

He stressed that energy and climate cooperation is a low-hanging fruit in the UK-EU trading relationship, where both sides share aligned ambitions.

Berman called for the swift implementation of new trading arrangements to maximise benefits, reduce emissions, and enhance energy security.