Europe faces a winter gas shortage unless Trump strikes a deal to end the Iran war, the International Energy Agency warns

Gas storage across Europe is at its lowest level since 2013, the International Energy Agency warns in its quarterly report, leaving the continent "particularly exposed" to cold spells if the Strait of Hormuz stays closed. The IEA says storage could plummet below 10 per cent of working capacity by April 2027 if the blockage persists through a colder-than-average winter.

Once reservoirs drop below 30 per cent capacity, gas delivery rates to European homes fall sharply, cutting the buffer against supply shocks.

Prospects for a deal dimmed further when the US carried out new strikes against Iran's Qeshm Island on Monday and Iranian supreme leader Mojtaba Khamenei threatened war with 'no geographical restrictions' if strikes resume.

Europe is caught in a double bind: long-term bans on Russian Arctic LNG take effect in 2027, making a reopened Hormuz route critical to replacing supplies.