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Drax Group PLC on Thursday said the UK Financial & Conduct Authority has closed their investigation into the company. The regulator will take no action against the Selby, North Yorkshire-based electricity generator, Drax reported. At the end of August, the FCA launched the probe into Drax’s financial reporting and ‘certain historical statements regarding Drax’s biomass sourcing’. The investigation covered the period January 2022 to March 2024, and the compliance of the company’s annual reports for 2021, 2022 and 2023 with listing rules. According to a report from the Financial Times last year, the investigation came after Drax’s former top lobbyist accused the company of ‘misleading the public, government and its regulator’ over its sourcing of wood for biomass pellets, during a claim for unfair dismissal at an employment tribunal. In August 2024, Drax paid £25 million after industry regulator Ofgem found there was an absence of adequate data governance and controls in place that had contributed to the firm misreporting data in relation to the period April 2021 to March 2022. ‘The FCA has confirmed that it has no concerns warranting further investigation,’ Drax said on Thursday. Chief Executive Will Gardiner commented: ‘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.’ Drax shares fell 1.3% to 744.00 pence on Thursday morning in London, but are up 13% over the past year. Copyright 2026 Alliance News Ltd. All Rights Reserved.
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