Report: France told £18bn Hinkley deal can go ahead

The British government has told France it will approve plans to build a nuclear reactor at Hinkley Point, according to reports.

Two months ago, Theresa May slammed the brakes on the £18bn deal agreed by her predecessor.

However Bloomberg is reporting an official familiar with the matter claims the project will go ahead subject to conditions.

Downing Street has promised there will be a formal decision this month, amid claims the Prime Minister was anxious about the security implications of the Somerset plant being partially funded by Chinese state companies.

It will be built by French-owned EDF (Paris: FR0010242511 - news) , and there have been concerns about the high cost that Britain has agreed to pay to the company for the electricity generated at Hinkley Point - as well as the reactor's design.

Similar projects in other countries have been plagued by delays.

A 300,000-strong petition against the venture is being handed in to Downing Street later, urging Mrs May to invest in renewable power instead.

It follows an opinion poll commissioned by Greenpeace which shows public support for the multi-billion pound scheme has fallen to a new low of 25%, whilst nearly half of those polled voiced their opposition to it.

When the deal was agreed by David Cameron last year, the agreement concerned only Hinkley Point but said the Government would look favourably on a Chinese-built reactor at Bradwell in Essex.

Security experts are more concerned about a Chinese-built reactor in terms of giving a foreign power access to key infrastructure in Britain.

It has been suggested the Bradwell part of the deal could be dropped - which would be a blow to China, which is trying to build its reputation internationally as a supplier of nuclear power.

:: Hinkley: A decade of delays and rising costs

Asked about Bradwell on Tuesday, the business and energy secretary Greg Clark told MPs (BSE: MPSLTD.BO - news) that "the decision is on the particular contract … with Hinkley C. That's what we are reviewing".

He also reiterated Britain's commitment to nuclear power as an important part of the energy mix.

Mrs May had the chance to speak to Chinese President Xi Jinping at the G20 summit his country hosted earlier this month.

Supporters say the project will generate tens of thousands of jobs