In many ways the UK is the best prepared European power market for rapid decarbonisation. It has a large renewable resource base (particularly offshore wind) and an effective CfD support mechanism. It also has a well established & transparent regulatory framework, with a capacity market that has delivered substantial volumes of new flexible capacity. However there are some UK market stability warning signals that are flashing orange after the impacts of the 2020 Covid demand shock and a tight current winter. Flexibility lies at the core of the UK market’s problems. The UK market operator National Grid has issued 6 ... (full story)