Oil prices fell nearly 20% in 2025, their steepest annual drop since 2020.
It marked the third consecutive year of losses for global oil markets.
Analysts say the slide is driven by severe oversupply.
Global producers are pumping far more crude than demand requires.
International Energy Agency expects supply to exceed demand by about 3.8 million barrels a day.
Opec has delayed output increases, but the glut persists.
Brent crude ended the year near $61 a barrel, down from about $74 in 2024.
US crude followed a similar decline.
Weak economic growth and reduced Chinese demand added pressure.
A possible easing of sanctions on Russia could deepen oversupply.
Banks including JPMorgan and Goldman Sachs expect prices to fall into the $50s in 2026.
Lower oil prices may ease inflation, but fuel savings have yet to reach consumers.
Despite cheaper crude, UK energy bills rose slightly after a cap increase by Ofgem.
