Block trades may take place at prices different to the prevailing central markets price. However, members must ensure that any block trade price quoted satisfies fair value principles i.e. that such price is fair and reasonable given the lot size of the block trade and the price and size of business being quoted in the central order book.

As an additional safeguard, Liffe and LCH.Clearnet Ltd. require members to justify any trades negotiated at apparently abnormal levels and will reserve the right to refuse to register any such trades.

Following organisation of a block trade, Liffe members should submit the trade using the wholesale trade function on their front-end application. Organisation occurs at the point at which there is verbal agreement on all of the terms of the trade. Block trades should be reported to Liffe as soon as practicable. In any event, they should be reported within five minutes if they are not dependant on the execution of a transaction in another instrument. They may be reported within fifteen minutes of organisation if they are dependant on the execution of a transaction in another instrument or if market conditions are exceptional. (Please see the Liffe Trading Procedures for further details.) Once the block trade has been validated and accepted by the Exchange, a message will be posted via the LIFFE CONNECT® front end detailing the trade.

Block Trades will be included within existing price reports, albeit with a separate trade type indicator "K".