The Council of the European Union has authorised the European Commission to open talks with the United Kingdom on an agreement regarding the latter’s participation in the EU’s internal electricity market (European Council press release, 30/03/2026). It would allow the UK’s participation in the EU’s internal electricity market, both the wholesale and retail market, and envisages "dynamic alignment of UK laws to EU rules", to create a level playing field between the parties. Such a deal is expected to improve the efficiency of the electricity trading between the two areas, and facilitate investments in electricity infrastructure, including renewable electricity generation that is necessary to achieve both sides’ net zero ambitions, while safeguarding the level playing field between the EU and the UK.
The United Kingdom is a net importer of electricity, with 33 TWh in 2025, accounting for around 12% of Britain’s electricity consumption. It has interconnections with Belgium (0.8 GW), France (4 GW), Ireland (0.5 GW), the Netherlands (1 GW), Northern Ireland (1 GW), which is part of Irish grid and remained governed by EU rules after Brexit, Denmark (1.5 GW since 2023), and Norway (1.4 GW).
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