Update on the future of liquidity policy
Reports, plans and updates
- Publication date
- Industry sector
- Generation and Wholesale Market
On 30th January 2020 we published an update on our liquidity policy review, including the publication of the NERA Economic Consulting Options Assessment report. In that update we set out the approach we would take in making a decision on the future of liquidity policy.
This letter provides an update on liquidity policy and includes an overview of our analysis as a result of our market monitoring and stakeholder engagement. We do not consider that the current evidence demonstrates a prolonged deterioration of liquidity to a level that would result in a net consumer benefit from intervention. Therefore, we are not intervening to support liquidity at this time. We will continue to monitor liquidity indicators and engage with stakeholders.
If you have any questions please contact wholesalemarketoperation@ofgem.gov.uk.