The UK government has signed a contract with Rolls-Royce to develop the country's first small modular reactors (SMRs), according to reports. The project involves building three small modular reactors, as reported. The contract was signed by Great British Energy – Nuclear (GBE-N) and Rolls-Royce SMR, according to multiple reports. The agreement covers the next phase of development for the UK's first fleet of small modular reactors, a technology that the government hopes will play a key role in decarbonising the power grid and enhancing energy security.
The three SMRs will be located at Wylfa on Anglesey, according to reports. The reactors will have a combined capacity of around 1.4 gigawatts, according to reports, enough to power the equivalent of approximately three million homes, as reported. The Welsh Government has supported new nuclear at Wylfa for many years, said Rebecca Evans, cabinet secretary for economy, energy and planning in Wales.
In the context which we are today, it shows how important a contract like this, technology like this, is. If we can produce more homegrown electricity here in the uk, that takes us off the rollarcoaster of global oil and gas prices. If we have greater control over the energy that we need here at home, it makes us less vulnerable in the face of shocks like we’re seeing at the moment. And so this was always the right thing to do but in the world in which we live today, where there is less security and there is more volatility, this deal is more important than ever.
The SMRs are expected to be operating by the mid-2030s, according to reports, with construction beginning in the early 2030s, as reported. GBE-N has already started ground preparation works ahead of the project, a spokesperson confirmed. The timeline reflects the government's ambition to accelerate nuclear deployment as part of its clean power mission.
The National Wealth Fund plans to invest up to £599 million to support the next stages of designing the SMRs, according to reports. The loan from the National Wealth Fund is around £600 million, as reported. Chancellor Rachel Reeves said the contract is 'more important than ever' amid the Middle East crisis. 'In the context which we are today, it shows how important a contract like this, technology like this, is,' she said at a press conference. 'If we can produce more homegrown electricity here in the UK, that takes us off the rollercoaster of global oil and gas prices.' Energy Secretary Ed Miliband said reducing the UK's exposure to volatile fossil fuel markets is the 'unavoidable lesson of this war'. 'At a time of global instability, this is a major milestone for Britain's energy security,' he said.
This investment, along with vital financing from the National Wealth Fund, will strengthen our energy security, create skilled jobs and help to build a new generation of homegrown nuclear technology that will power our economy for decades to come.
The project will support around 3,000 jobs at the peak of construction, according to reports, and create around 1,000 jobs at Rolls-Royce, as reported. The discrepancy between the two figures likely reflects different scopes: the 3,000 figure includes all construction and supply chain jobs, while the 1,000 figure focuses on Rolls-Royce-specific roles. Both figures may be correct for different aspects of the project.
The SMRs will provide power for over 60 years, according to reports. The Welsh Government is preparing a proposal for Rolls-Royce SMR to develop a modular manufacturing facility in Deeside, which would anchor a repeatable build programme and a long-term supply chain for decades to come, said Rebecca Evans. Deeside is recognised as an advanced manufacturing cluster with established heavy industry, logistics connectivity, a skilled workforce and supporting infrastructure, she added.
At a time of global instability, this is a major milestone for Britain’s energy security. We are backing a British company to deliver our first small modular reactors – creating a generation of good jobs, driving growth and providing clean, home-grown power for decades to come.
Chancellor Rachel Reeves said the contract is 'more important than ever' amid the Middle East crisis. Energy Secretary Ed Miliband said reducing the UK's exposure to volatile fossil fuel markets is the 'unavoidable lesson of this war'. Rebecca Evans said the Welsh Government has supported new nuclear at Wylfa for many years.
That is why this Government is doubling down, not backing down, on our clean power mission, drive for renewables and nuclear. We’re ending years of delay with the biggest nuclear building programme in half a century from Sizewell C to this first fleet of SMRs.