A new nuclear power plant in Suffolk is under evaluation and might be delayed or even scrapped as the government attempts to save spending.
Sizewell C was anticipated to produce up to 7% of the United Kingdom’s total electricity demand, but critics believe that its construction will be costly and time-consuming.
In addition, a new high-speed rail line in northern England could be eliminated.
A government official told, “We are examining every big project, including Sizewell C.”
The government is expected to reveal its tax and spending intentions under new Prime Minister Rishi Sunak on 17 November during the Autumn Statement.
Fundraising negotiations for Sizewell C are reportedly ongoing. It is not anticipated to begin power production until the 2030s.
A Treasury spokeswoman stated that infrastructure project delivery was a “priority.”
“HS2 is underway, within budget, and sustaining 28,000 employment; we also intend to approve at least one large-scale nuclear project in the next few years and aim to accelerate the delivery of approximately 100 significant infrastructure projects in the United Kingdom.”
However, the new Business Secretary, Grant Shapps, has provided the strongest signal yet that the recent pledges made by the former prime minister, Liz Truss, will likely be cut back.
Mrs. Truss had committed to complete the construction of a large rail project in northern England, with a high-speed link eventually connecting Hull to Liverpool through Bradford.
However, it is anticipated that the Northern Powerhouse Rail ambitions would be scaled back.
“There wasn’t much use in going and blasting new tunnels through the Pennines,” he told. “It’s not accurate that we’re not delivering on our promise to level the north.”
Henri Murison, chief executive officer of the Northern Powerhouse Partnership lobbying organization, stated that reducing the rail line posed “serious issues” about the government’s ambitions to stimulate economic growth.
“The North’s deteriorating transportation infrastructure continues to drag down our economy and discourage private investment.
This method saves the Treasury little to nothing at this time. Northern Powerhouse Rail is still in the early stages of development, thus the majority of the necessary funding will not be required until far after the current expenditure review period.”
Last month, Ms. Truss and French President Emmanuel Macron offered “full support” for EDF’s development of the Sizewell C nuclear power plant on the Suffolk coast.
The government approved the plant in July, and EDF estimates that it may provide enough energy to power almost six million homes.
Executives at the French energy contractor EDF, which is currently constructing a new plant at Hinkley in Somerset, and the Business and Energy department appeared surprised on Thursday by a potential shift in government policy, which promises to move forward with both large- and small-scale nuclear projects.
“As far as we know, it’s still happening,” said a nuclear industry executive with knowledge of the situation.
New large-scale nuclear facilities have been a crucial component of a government policy to lessen the United Kingdom’s dependency on fossil fuels. When he was prime minister, Boris Johnson announced his ambition to construct eight new reactors over the following eight years.
A departure from this position would indicate a significant shift in UK energy policy, which some would lament and others will welcome.
However, it would not do much to convince domestic and foreign investors in the United Kingdom that they are dealing with an administration with consistent policy intentions.
During his summer campaign for the Conservative leadership, Mr. Sunak committed to preserving Mr. Johnson’s plan to construct eight additional reactors.
To achieve energy independence by 2045, he also advocated for a modification of licensing legislation that would permit the government to construct more nuclear facilities.
