As at 8th July 2011, NYSE LIFFE reported that there was still 120,200t wheat held in registered LIFFE futures stores across the UK, compared to 56,300t held on 9th July 2010.

The table below shows the county in which the wheat is currently held.

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The UK feed wheat futures market is settled by physical delivery meaning that physical wheat can be delivered to fulfil a futures contract.  More commonly buyers and sellers contracts are matched, effectively cancelling each other out.  When delivery does take place, it is to one of the registered futures stores across the country.  For this reason LIFFE (UK) futures prices are equivalent to a physical UK ex-store price. 

At the end of the season, of which July is the last futures contract month, all wheat must be removed from the futures stores by the 31st July.   Until the 31st July, the maximum rent that can be charged by the owner of a registered LIFFE futures store is set by the exchange NYSE LIFFE, currently at 3.5pence per tonne per day.  After the 31st July, there is no limit to what can be charged and the owners of the store and the wheat owner must negotiate the rent; the much higher rents which can be charged are known as ‘penalty rents’.  It is also worth noting that store owners can insist that the wheat is removed by 31st July. 

As a result, when the end of July approaches wheat remaining in futures stores can be drawn onto the physical market.  When large volumes leave futures stores for the physical market, depending on the locations of the stores and local supply and demand, relationships between prices offered for different regions for July delivery can alter .  There is still a sizeable volume of wheat remaining in futures stores, concentrated in the east of England and also Scotland.