The European Commission has launched a consultation on credit rating agencies (CRAs). The consultation aims to deal with potential risks arising from over-reliance on credit rating by financial markets participants and the high degree of concentration in the rating market. It also discusses the introduction of a civil liability regime for CRAs, measures to deal with conflicts of interest issues due to the "issuer-pays" model and measures to prevent rating shopping. Depending on the responses to the consultation, the Commission will decide whether or not legislative measures will be required in relation to CRAs. Responses to the consultation are requested by 7 January 2011