UK power market investigation overshadowed by EMR

A Competition and Markets Authority (CMA) probe into the UK power market, which may result in a radical shake-up of the sector, is coming amid major changes to the industry under Electricity Market Reform. How the CMA reconciles this will be closely watched by market participants, reports Stella Farrington

In the UK, the energy market is high on the agenda for all the wrong reasons. During recent years, discontent with the current structure of the country's market in power – and to a lesser extent, natural gas – has been steadily increasing. Critics say the design of the energy market does not do enough to promote price competition and transparency, encourage new entrants to break into the sector or incentivise vital investment.

Under pressure to reduce the level of market power wielded by large