Government unveils £14.2bn Sizewell C plan to secure UK’s energy future
£14.2 billion of investment will be allocated to the project.
Alongside the confirmation of the UK’s first generations of Small Modular Reactors (SMR’s), this landmark decision represents a bold step towards energy independence and the revitalisation of the UK’s nuclear industry. Over 70% of Sizewell C’s construction value will go to UK companies, providing a massive boost for the British economy and a major move to reshore the country’s energy supply chains.
Announcing the news, Ed Miliband, the secretary of state for energy security and net zero, said the investment in nuclear would ‘protect family finances, take back control of our energy, and tackle the climate crisis.
Based on the Suffolk Coast close to the sites of Sizewell A and B, the project has been described by the independent consultancy firm Enco as the best-prepared nuclear energy site in modern nuclear history.
It is the first nuclear power station in the UK that will be funded through a Regulated Asset Base (RAB) model. Under the model, consumers are protected through independent regulation, strict cost controls, and transparent oversight – ensuring families benefit from secure, low-carbon energy without bearing the risk of cost overruns.
Sizewell C will provide:
-Clean and reliable energy for around 6 million homes – equivalent to 1 in 5 of all UK homes.
-Over 10,000 direct jobs, supporting thousands more across the UK.
-More than 1,500 training and apprenticeship opportunities, creating the next generation of British engineers, scientists, and construction workers.
-Additional revenue for over 3,500 British companies in nearly every constituency across the UK, including Wright Bus in Northern Ireland, the William Hare Group in south Wales, and TRM in Sunderland.
-Over £1-1.5 billion of annual savings across the electricity system when the project is up and running.
Energy security and the cost of energy have dominated the UK news agenda in recent years following Russia’s invasion of Ukraine. The UK’s reliance on volatile international gas markets led to a sharp spike in energy bills, prompting government interventions that cost close to £50 billion in 2022 and 2023.
By investing in nuclear energy, the UK can produce reliable, homegrown power and reduce its dependence on overseas energy supplies.
Ed Miliband, the secretary of state for energy security and net zero, said: “We will not accept the status quo of failing to invest in the future and energy insecurity for our country.
“We need new nuclear to deliver a golden age of clean energy abundance, because that is the only way to protect family finances, take back control of our energy, and tackle the climate crisis.
“This is the Government’s clean energy mission in action – investing in lower bills and good jobs for energy security.”
Julia Pyke and Nigel Cann, joint-managing directors of Sizewell C, said:
“This marks the start of an exciting new chapter for Sizewell C, the UK’s first British-owned nuclear power plant in over 30 years. It’s a privilege to be leading a project that will create over 10,000 jobs, secure Britain’s energy future and revitalise the UK’s nuclear industry.
“This will be British infrastructure at its best – delivering a cleaner, more secure energy future for generations to come.”