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FCA investigates Drax over biomass sourcing disclosures
FCA investigates Drax over biomass sourcing disclosures
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The FCA has opened an investigation into Drax concerning its biomass sourcing disclosures between January 2022 and March 2024 and the compliance of Drax’s 2021, 2022 and 2023 Annual Reports with the Listing Rules and Disclosure Guidance and Transparency Rules, under the UK Market Abuse Regulation.
Drax, a major UK energy provider, has transitioned from coal to biomass at its North Yorkshire power station and has positioned itself as a leader in renewable energy and carbon removal technologies. Concerns, however, have emerged regarding the environmental impact and traceability of the wood pellets it imports, primarily from North America.
The FCA’s investigation followsan investigation by Ofgem into Drax Power Limited, concerning whether the power generation company was in breach of its annual profiling reporting requirements relating to the Renewables Obligations scheme and other related matters. Ofgem found no evidence of deliberate misreporting but concluded that Drax had failed to comply with its obligations, and specifically its CP20 annual profiling submission. Accordingly, Drax Power Limited submitted to pay £25…
UNITED KINGDOM disapproved TRIBUNAL in London, London, City of, United Kingdom
City watchdog closes Drax biomass probe after sustainability concerns
By PA News Agency
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Drax Power Station is near Selby, North Yorkshire (PA)
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Energy company Drax will face no action following an investigation by the UK’s financial watchdog into its sourcing of wood for biomass.
The Financial Conduct Authority (FCA) confirmed on Thursday it had closed the probe, which was launched in August last year.
It followed whistleblower claims the firm had misled the market over the sustainability of wood pellets sourced from Canada.
The London-listed group runs the UK’s largest power station in Yorkshire, which receives Government subsidies for burning biomass to generate power, classed as renewable.
It has long faced accusations of sourcing pellets from environmentally important forests around the world, though the company says it is confident the wood is sustainable and legally harvested.
The FCA investigation covered the period January 2022 to March…
UNITED KINGDOM disapproved COMPANY in London, London, City of, United Kingdom
City watchdog closes Drax biomass probe after sustainability concerns
By PA News Agency
Share
0 Comments
Drax Power Station is near Selby, North Yorkshire (PA)
This article is brought to you by our exclusive subscriber partnership with our sister title USA Today,
and has been written by our American colleagues.
It does not necessarily reflect the view of The Herald.
Energy company Drax will face no action following an investigation by the UK’s financial watchdog into its sourcing of wood for biomass.
The Financial Conduct Authority (FCA) confirmed on Thursday it had closed the probe, which was launched in August last year.
It followed whistleblower claims the firm had misled the market over the sustainability of wood pellets sourced from Canada.
The London-listed group runs the UK’s largest power station in Yorkshire, which receives Government subsidies for burning biomass to generate power, classed as renewable.
It has long faced accusations of sourcing pellets from environmentally important forests around the world, though the company says it is confident the wood is sustainable and legally harvested.
The FCA investigation covered the period January 2022 to March…
Drax Group Plc Drax confirms FCA closes investigation with no further ...
Drax Group Plc Drax confirms FCA closes investigation with no further ...
Drax Group Plc Drax confirms FCA closes investigation with no further action
Ethan Davis
June 18, 2026
7:28 am
Drax Group plc
(LON:DRX) has confirmed that the FCA has closed its investigation into the Company, which was announced on 28 August 2025, and no action will be taken.
The investigation covered the period January 2022 to March 2024 and related to certain historical statements regarding Drax’s biomass sourcing and the compliance of Drax’s 2021, 2022 and 2023 Annual Reports with the Listing Rules and Disclosure Guidance and Transparency Rules.
The FCA has confirmed that it has no concerns warranting further investigation.
Commenting on the closure of the investigation, Will Gardiner, CEO of Drax said,
“We recognise the importance of compliance with our regulatory obligations and have worked constructively with the FCA throughout this investigation.
We are pleased to see the investigation closed with no action being taken.”
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FCA closes investigation into Drax over Canadian biomass disclosures ...
FCA closes investigation into Drax over Canadian biomass disclosures ...
The Financial Conduct Authority has closed its investigation into Drax Group, finding no evidence to justify further action.
The investigation examined whether Drax's annual reports and accounts for 2021, 2022 and 2023 contained misleading statements or omitted information investors needed to know, focusing specifically on disclosures relating to the sustainability of the company's Canadian biomass supply.
The FCA said it reviewed thousands of pages of material and interviewed individuals from the company as part of the probe.
The investigation was opened on 28 August 2025 following enquiries made after Ofgem's August 2024 findings on Drax's reporting of biomass profiling data.
The FCA noted that Drax, as a listed company rather than a regulated financial services firm, is subject to specific disclosure rules rather than the full body of FCA regulation.
"Accurate reporting is crucial to the integrity of our markets, and vital so investors can make informed decisions," the regulator said, adding that it takes proportionate action where evidence supports it and closes cases swiftly where it does not.
FCA closes investigation into Drax over biomass sourcing
FCA closes investigation into Drax over biomass sourcing
<p>Regulator launched inquiry amid concerns that firm made misleading statements about origins of wood pellets</p><ul><li><p><a href="https://www.theguardian.com/business/live/2026/jun/18/bank-of-england-interest-rates-uk-unemployment-wages-oil-price-stock-markets-latest-news-updates">Business live – latest updates</a></p></li></ul><p>The City watchdog has closed an investigation into the power generator Drax, after an almost 10-month review into the sourcing of wood pellets for its biomass power station.</p><p>The Financial Conduct Authority said it had “reviewed thousands of pages” but that it “did not find evidence that justified any further action”.</p> <a href="https://www.theguardian.com/business/2026/jun/18/fca-closes-investigation-drax-biomass-fuel-sourcing-wood-pellets">Continue reading...</a>
Corroboration
No verdict, no pronouncement. The model extracts atomic factual claims with verbatim quotes; every quote is validated against the source text and corroboration is computed by counting how many editorially-opposed blocs assert each fact. 4 fabricated/unverifiable quotes were rejected by the cite-or-die gate.
The spine · 1 fact corroborated across ≥2 opposed blocs
2×broadly confirmedThe Financial Conduct Authority (FCA) closed an investigation into Drax regarding its sourcing of wood pellets for biomass.
otherwestern
gdelt“The Financial Conduct Authority (FCA) confirmed on Thursday it had closed the probe, which was launched in August last year.”
guardian“The City watchdog has closed an investigation into the power generator Drax, after an almost 10-month review into the sourcing of wood pellets for its biomass power station.”
Single-source · 9 — reported by one bloc only (uncorroborated)
The FCA investigation into Drax was launched in response to whistleblower claims that the firm had misled the market over the sustainability of wood pellets sourced from Canada.
gdelt
The FCA reviewed thousands of pages of material during its investigation into Drax’s biomass sourcing.
guardian
The FCA concluded its investigation without taking further action because it did not find evidence justifying further action.
guardian
The FCA investigated Drax concerning its biomass sourcing disclosures between January 2022 and March 2024, and the compliance of Drax’s 2021, 2022 and 2023 Annual Reports with the Listing Rules and Disclosure Guidance and Transparency Rules under the UK Market Abuse Regulation.
petersandpeters.com
Ofgem found no evidence of deliberate misreporting by Drax.
petersandpeters.com
Ofgem concluded that Drax had failed to comply with its obligations under the Renewables Obligations scheme.
petersandpeters.com
The European Court of Justice dismissed the UK government’s legal challenge against the EU’s proposed financial transaction tax (FTT).
randstad.co.uk
London Mayor Boris Johnson described the EU’s proposed financial transaction tax as 'barmy'.
randstad.co.uk
Boris Johnson warned that the European Court of Justice’s ruling raised serious questions about how the UK government proposed to protect the City’s financial sector from EU legislation.
randstad.co.uk
Framing · 5 — loaded language surfaced (spin shown, not adopted)
gdelt
“It has long faced accusations of sourcing pellets from environmentally important forests around the world, though the company says it is confident the wood”
→ Drax has faced accusations of sourcing wood pellets from environmentally important forests; Drax says it is confident in its sourcing.
guardian
“Regulator launched inquiry amid concerns that firm made misleading statements about origins of wood pellets”
→ The FCA launched an inquiry due to concerns Drax made misleading statements about wood pellet origins.
petersandpeters.com
“Concerns, however, have emerged regarding the environmental impact and traceability of the wood pellets it imports, primarily from North America.”
→ Concerns have emerged about the environmental impact and traceability of Drax’s wood pellets imported from North America.
randstad.co.uk
“Mayor Johnson said: “This judgement beggars belief. With London’s economy buoyant once more and driving the national recovery, the last thing that we need is a barmy tax that will stamp on growth and potentially drive businesses to financial centres outside the EU.””
→ Boris Johnson criticized the EU’s financial transaction tax as harmful to growth and the financial sector.
apps.apple.com
“The last couple of times I flew with United, the flight attendants were extremely unprofessional, my tray table never worked on my last flight, so I had to eat on the side area of my seat, which was very awkward and hard to do with a tray. I’ve been flying as a very loyal customer of United for many years, but I tried other airlines in the last year, due to how much I feel the Professionalism , and Friendly Service has changed so much. And the last couple of times I have flown, when I have entered the plane, the flight attendants were so busy speaking with one another, they completely ignored us getting on the plane. There was no greeting or welcome to anyone. Then to top it off, they continued to talk loudly when the plane took off. Another one of my grievances with United is the way the announcements are given before takeoff. Whoever is speaking, talks so quickly, and in such a monotone, that if I was a foreigner trying to listen, I wouldn’t be able to understand anything being said! It is like perfunctory words, instead of a really caring and heartfelt welcome.”
→ A passenger reported unprofessional behavior by United Airlines flight attendants, including lack of greeting, loud conversation during boarding, and unclear announcements.