Back in the days of the Nationalised Central Electricity Generating Board (CEGB) there was a Merit Order. The cheapest (usually largest) generating units were at the top, along with Nuclear. These units were known as base load, running 24/7. Following those, units were listed in cost/megawatt. Some would run morning to night, others ran peak times. Those towards the bottom of the list may not run at all during the summer months.
But as it was a nationalised industry, it was run for security of supply not for making money. Therefore all units which were available to run, whether they ran or not, received a payment.
Move forward to privatisation. Basically a unit only got a payment if it ran. The accountants would think this good practice, but for security of supply it isn’t. What happened was that older infrequently used units were shutdown & decommissioned. To attempt to counter this some companies offered their units to the National Grid at low cost, often below cost/megawatt to generate. Obviously this couldn’t carry on.
The electricity supply industry is a strange one in matching demand to available generation. After privatisation when for summer months on end, some generating units would be sitting there but not getting paid, but for winter security they need to be kept open. Those days are gone.