Europe's natural gas price slid Monday below 40 euros for the first time in more than a year and a half, dampened by mild weather and high storage levels.

In morning London deals, the price of benchmark Dutch TTF gas hit 39.65 euros per megawatt hour -- last seen in July 2021.

Monday's low is almost nine times less than the record high struck after key gas producer Russia invaded Ukraine more than one year ago.

Energy bills remain high for many households and businesses, however, with wholesale costs taking time to filter down to the end consumer.

"We are now more than halfway through... the last winter month, and approaching spring with seasonally much weaker gas demand," noted DNB Bank analysts.

"Gas inventories are still close to seasonal record levels, and 20 percent above normal levels."

Following Moscow's invasion, Western nations have been forced to source gas supplies from outside sanctions-hit Russia, with Norway becoming Europe's main supplier.

The Ukraine conflict has fuelled surging domestic energy bills and wider inflation, sparking global economic turmoil.