The process of spectrum trading and liberalisation is making its debut in the UK. Radio spectrum is a major asset to the UK, contributing some £24bn to the economy each year and underlying several aspects of our lives. After carefully reconsidering the way in which this vital resource should be managed, Ofcom, the UK's telecommunications regulator, has recently published an important consultation document which sets out the government's plans for radio spectrum in the medium and long term. Spectrum has been managed in the UK for around 100 years, using the worldwide approach of the spectrum manager deciding on both the use of a particular band and which users are allowed to transmit in it. In recent years, as demand has started to exceed supply in some areas, this approach to spectrum management has started to become problematic. Where spectrum is scarce, 'beauty contests' and auctions have been used by governments to choose between competing would-be service providers. Auctions solve the problem to some degree in that they decide who can use the spectrum, but they do not allow users to change the use of that spectrum. Economists have suggested that if the market were able to determine the best use of the spectrum as well, great benefits to spectrum users and to society would result. The article outlines Ofcom's proposals.