The wholesale gas market has "normalised" in October, after a trough in September caued by a supply overhang, according to this month's Vayu Energy Report.

The report said average wholesale gas prices were up 30 per cent in October over last month, when prices hit lows not seen since the depths of the financial crisis in 2009. Wholesale gas prices are down 14 per cent on the same month a year ago.

Vayu attributed the reduction in prices since the corresponding month a year ago to “continued healthy supply, lower oil prices and decreased demand”.

Gillian Lawler, a senior energy analyst at Vayu Energy, said the stronger euro relative to the pound due to Brexit and gains made on oil were influencing the market.

“The current outlook is for contracts to stay in positive territory with the rally in oil expected to continue and weakness of sterling still holding,” she said.