UK Government Spending Watchdog Warns Of ‘Significant Financial Risks’ On Sizewell C

Nuclear industry says twin EPR project will strengthen energy independence, support lower bills and provide power for generations

UK Government Spending Watchdog Warns Of ‘Significant Financial Risks’ On Sizewell C
The government expects Sizewell C to cost between £40.5bn and £47.7bn and for construction to be completed by 2043. Courtesy Sizewell C.

Successive governments’ failure to deliver new nuclear has left the UK in a position where the best terms it could secure for Sizewell C mean that consumers and taxpayers shoulder significant financial risks, while private investors enjoy protected profits, MPs have said.

In a report published today (28 October), MPs on the lower house of parliament’s public accounts committee said project company Sizewell C should be clearer on the level of risk it faces, describing financing arrangements for the two-unit EPR station in southeast England as a “terrible deal” for the UK taxpayer.

The MPs said Sizewell C is a high-risk mega project with estimated construction costs in the range of £40.5bn (€48.4bn, $53.8bn) to £47.7bn. It is expected to be fully operational in 2039 and operate for at least 60 years.

Their report said: “We are concerned that if costs rise above the baseline – and they are highly likely to – consumers will pay through higher bills while private investors face little risk to their capital and yet still expect high returns.”

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