Last autumn, the government was notified by price reporting agencies of allegations that the UK gas market had been manipulated. The two regulators, Ofgem and the Financial Conducts Authority (FCA) have reviewed the situation and have concluded that they could find no evidence in this instance of market manipulation and that no further action is required.
Secretary of State Edward Davey said:
“Ofgem and the FCA have conducted a rigorous review and have not found evidence of market manipulation in this case.
“Market abuse is a very serious concern and I’m determined that where it exists, the full force of the law is brought to bear.
“That’s why we’re introducing annual competition reviews to make sure the energy market is operating properly, and we’re proposing to introduce criminal sanctions for manipulation of the energy markets.”