Coal market in the United Kingdom

Earlier Report Observations

The UK coal market volume began the period at 12 323 thousand tonnes in 2018, supported by a recovery in coal prices and strong import demand from Asia, particularly from China and South Korea where domestic mining caps and low stocks tightened the global market. This high volume was followed by a decline to 8 443 thousand tonnes in 2019. The contraction accelerated in 2020, with market volume falling to 6 823 thousand tonnes, as the COVID-19 pandemic led to a drop in thermal coal sales and caused global supply-chain disruptions.

Market volume stabilized at 6 544 thousand tonnes in 2021 amid government consultations on the early phase-out of unabated coal generation, signaling a policy-driven reduction in coal dependency. A rebound to 7 755 thousand tonnes occurred in 2022.

From 2023 onward, the coal phase-out policy accelerated markedly. The last large surface coal mine, Ffos-Y-Fran, closed in late 2023, and coal-fired power generation plummeted with the shutdown of plants like West Burton A and Drax. By 2024, coal-fired generation accounted for only 0.7% of UK electricity output, and the last coal-fired power station ceased operation, meeting the government's October 2024 deadline. By 2025, UK coal production remained minimal, with regulatory frameworks fully enforcing the end of unabated coal generation, reducing coal consumption to negligible levels.

Production coal in the United Kingdom

In kind, 2018-2021, K t

Top producers of coal, 2018-2021

World map of production of coal, 2018-2021

Coal production in the United Kingdom declined after two consecutive years of growth. In 2021, production stood at 3 106 K t, marking a sharp decrease of 36.8% compared to 2020. Over the period from 2018 to 2021, overall production fell by 14.2%, with a compound annual growth rate of -5.0%. The highest production level was recorded in 2020 at 4 915 K t, which also saw the largest annual increase of 26.5%.

Annual dynamics of production in the United Kingdom in kind, 2018-2021, K t

Exports coal from the United Kingdom

Exports in kind, K t

The market showed an unstable trend throughout the period. Exports reached their lowest point in 2018 and peaked in 2020, with a 2.7-fold difference between these years. In 2021, foreign coal supplies from the United Kingdom amounted to 1 150 K t, down by 36.7% from 2020. The maximum value was recorded in 2020 at 1 817 K t, which also experienced the largest annual increase of 95.0%.

Annual dynamics of product's exports from the United Kingdom in kind, 2018-2021, K t

From 2018 to 2021, coal exports from the United Kingdom were distributed across a wide range of markets. Ireland accounted for 26.5% of exports in kind, Germany for 10.0%, and Norway for 8.6%, with these three countries together representing only 45.0% of total export flows.

Structure of product's exports in kind by countries, 2018-2021

World map of product's exports from the United Kingdom in kind, 2018-2021

Exports in value, M $ US

After two years of growth, the United Kingdom's coal export value declined. In 2021, exports totaled 169 M $ US, showing a modest decrease of 6.3% year-on-year. Between 2018 and 2021, exports increased by 36.2%, equivalent to an annualized rate of 10.8%. The highest value was recorded in 2020 at 181 M $ US, which also saw the largest annual increase of 27.1%.

Annual dynamics of product's exports from the United Kingdom in value, 2018-2021, M $ US

From 2018 to 2021, the partner portfolio for coal exports in value terms was quite broad. Ireland represented 34.8% of exports in value terms, Norway 8.7%, and Saudi Arabia 6.5%, with these three countries together accounting for only 50.0% of total export flows.

Structure of product's exports in value by countries, 2018-2021

World map of product's exports from the United Kingdom in value, 2018-2021

Imports coal to the United Kingdom

Imports in kind, K t

After two years of decline, coal imports to the United Kingdom increased. In 2021, the United Kingdom imported 4 588 K t of coal, reflecting a strong rise of 23.2% compared to the previous year. Between 2018 and 2021, imports decreased by 51.1%, equating to an annualized rate of -21.2%. The lowest value was recorded in 2020 at 3 725 K t, while the largest annual decline occurred in 2019 at 41.5%.

Annual dynamics of product's imports to the United Kingdom in kind, 2018-2021, K t

Throughout 2018 to 2021, Russia, the United States, and Australia played leading roles in coal imports to the United Kingdom. Russia accounted for 39.4% of imports in kind, the United States for 31.6%, and Australia for 9.1%, with these three countries jointly taking 80.0% of total import flows.

Structure of product's imports in kind by countries, 2018-2021

World map of product's imports to the United Kingdom in kind, 2018-2021

Imports in value, M $ US

After two years of decline, coal import volumes to the United Kingdom increased. In 2021, imports totaled 657 M $ US, up by 57.3% from 2020. Between 2018 and 2021, imports decreased by 48.1%, equivalent to an annualized rate of -19.6%. The lowest value was recorded in 2020 at 417 M $ US, which also experienced the largest annual decline of 44.3%.

Annual dynamics of product's imports to the United Kingdom in value, 2018-2021, M $ US

From 2018 to 2021, three main markets—the United States, Russia, and Australia—together absorbed 76.7% of total coal imports in value terms to the United Kingdom.

Structure of product's imports in value by countries, 2018-2021

World map of product's imports to the United Kingdom in value, 2018-2021