Closure of Yorkshire gas storage site 'would risk UK's ability to keep lights on'
The closure of a Yorkshire gas storage site would risk the UK's ability “to keep the lights on” a union claims, as it called for government support.
Centrica’s Rough facility, which is 18 miles off East Yorkshire, can provide half of the UK’s gas storage supply. But it is currently empty due to a dispute between the owner and the government, the Unite union said.
Defence minister Luke Pollard told the BBC earlier this week that the multinational, which had total group revenue of £22.37 billion in 2025, has “deep pockets”. He added: “They can choose their investments that they want to make.”
Centrica – which owns British Gas – has been lobbying for a so-called cap and floor mechanism to help fund £2bn plans to repurpose the facility to store more gas, including hydrogen.
While Centrica would provide the investment upfront, the government would share the risk and if revenues drop, the government would top up earnings to an agreed level.
Conversely, if energy market prices spike and Centrica makes excessive profits, surplus revenue would be clawed back and returned to the government.
Without a deal Centrica has warned that Rough could close by next April.
The company’s long-term aim is to turn Rough “into the world’s biggest methane and hydrogen storage facility - bolstering the UK’s energy security, providing flexibility for decarbonised power and creating 4,000 skilled jobs”.
Writing on LinkedIn Centrica’s chief executive Chris O’Shea said it was “not a good idea to gamble with national security”, adding: “The more Britain is reliant on imported gas, the greater our exposure to price (and supply) shocks.
"Rough acts as a giant battery, storing energy which can be turned into electricity on demand. It allows the grid to choose whether gas in storage is a cheaper alternative to imports.”
Unite says the facility is part of the UK’s critical infrastructure and if talks fail then they will push the government to consider all options – including public ownership.
General secretary Sharon Graham said: "Threats of closure are endangering jobs and our ability to keep the lights on and heat homes.”
The union said closure would lead to the loss of 100 well paid jobs and a further 350 in the supply chain.
The depleted gas field became a storage facility in 1985. It closed in 2017, but partially reopened in 2022, after Russia’s invasion of Ukraine. Its capacity has since been expanded to 54bn cubic feet.
Rough is one of eight storage sites filled from a variety of sources – 42% from the UK continental shelf, 37% from Norway’s, LNG accounts for 20%, and interconnectors supply 1%.
The UK has just 12 days of gas storage, compared to Germany with 89, France 103 and the Netherlands, 123.
A DESNZ spokesperson said: “UK gas supply is diverse and highly resilient. Gas storage was only 5% of our supply last winter.
"We have plans in place to maintain our energy security, whilst ensuring value for money for consumers and continuing the transition to clean power."