Global oil prices fell almost 20% in 2025, the steepest annual decline since 2020.
It marked the third consecutive year of losses for oil markets.
Analysts blame persistent oversupply despite conflicts in key producing regions.
The International Energy Agency expects supply to exceed demand by 3.8m barrels a day.
Brent crude ended the year near $61 a barrel, down from about $74 a year earlier.
US crude also dropped roughly 20% over the year.
High output from producers, including OPEC, has outweighed weaker global demand.
Slower growth and US-China trade tensions have further reduced consumption.
Banks including JPMorgan and Goldman Sachs expect prices to fall into the $50s in 2026.
Lower oil prices may ease fuel costs and inflation pressures.
However, UK households face higher energy bills after Ofgem raised the price cap slightly for early 2026.
