UK energy profits boost Spanish and Norwegian firms

Spanish firm Iberdrola has seen its profits boosted by its role in the UK energy networks.

The owners of Scottish Power posted £1.6 billion in profits (EBITA) in the first six months of 2026, with £909 million of this being driven by its network operations [pdf, p59 & 64].

Even after taking into account taxes paid by the firm, net profits have increased 17% compared to the same period last year. It also posted similar profit growth for the first quarter of 2026.

The firm owns over 172,000km of electricity wires and controls electricity networks in southern Scotland, north west England and northern Wales, which it runs as natural monopolies.

A spokesperson for the End Fuel Poverty Coalition, commented:

“Network profits are not won in a competitive market, they are earned from a regulated monopoly and paid for by households through standing charges, a daily fee people are billed before they use a single unit of energy. Growth on this scale, driven substantially by network investment in Britain, is a reminder of who ultimately funds it.

“Standing charges are the most regressive part of the bill. Prepayment customers watch their credit drain away while their homes stay cold, and arrears build up in households already carrying record levels of energy debt.

“Ministers and Ofgem must urgently reform how network and policy costs are recovered so that the poorest households are no longer paying the most to keep the system running.”

Meanwhile, the UK’s largest gas provider, Equinor has posted increased profits for the second quarter of 2026. The firm added to a bumper first three months of the year by posting £8.58 billion in adjusted operating income.

Through its Adura joint venture with Shell, Equinor extracts fossil fuels from the North Sea and is the co-owner of the controversial Rosebank oil field. Via a long-term supply deal with Centrica it also imports Norwegian gas directly to the UK market.

The latest predictions from analysts suggest that even with the UK Government’s planned VAT cut on bills, energy prices will increase again from 1 October 2026.

Liam Hainey, spokesperson for the Our Power campaign, added:

“The majority of people in Scotland understand the importance of the transition to renewable energy, but equally they’ll look at the profits reported today by Scottish Power’s parent company and feel hard done by.

“These are profits generated on the back of the burgeoning Scottish renewables industry but not enough of that wealth actually stays here and delivers for Scotland. Instead that money disappears into the pockets of distant shareholders while communities here are short changed.”