The cost of building the two-unit Hinkley Point C nuclear power station in the UK is set to increase to £32bn (€36bn, $38.5bn) – up by almost 30% on previous estimates of £26bn, France’s state power company EDF said.

Higher levels of inflation have pushed up the estimated spend on the two EPR units, the company said in a presentation published alongside its annual results.

Estimates for the cost of developing the power station had already risen from £18bn to £26bn, while its completion date has stretched from 2025 to 2027.

EDF said the revised costings are the result of inflation that has pushed up the price of labour and raw materials.