Yahoo Finance Rolls-Royce cuts down plans to build UK nuclear factories amid delays
Rolls-Royce has reportedly scaled down plans to build new mini nuclear reactors in the UK, following delays to a government design competition.
The engineering giant had planned to build factories as part of its small nuclear reactor (SMR) programme. One would focus on heavy pressure vessels for its SMRs, while the other would make the building blocks of the reactors.
Possible locations for the pressure vessels factory had included Sunderland, Redcar in North Yorkshire and Deeside in Wales.
But a report in the Telegraph said Rolls confirmed on Friday that it had ditched the plan, claiming there was no longer enough time to build the factory and make pressure vessels for the early 2030s. It had aimed to complete the first SMRs by then.
It comes amid ongoing delays to the outcome of the government’s SMR design competition.
Great British Nuclear, the nascent public body tasked with delivering a “nuclear renaissance,” recently pushed back a decision on where the first mini-nuclear reactors should be built until after the next election.
Rolls-Royce boss Tufan Erginbilgic has warned the firm will build its mini nuclear reactor in Europe should ministers fail to speed up decision making. Several European countries, such as Poland and Romania, are also looking to deploy SMRs.
Six companies are shortlisted in GBN’s competition to determine who will provide the SMR prototypes. Alongside Rolls, other contenders include EDF, GE-Hitachi, Holtec Britain and Nuscale. The winners will be announced in June, at the earliest.
Rolls-Royce was approached for comment.
A government spokesperson said: “Our world leading SMR competition aims to be the fastest of its kind, helping secure billions in investment for the UK, meaning cleaner, cheaper and more secure energy in the long-term.”
Rolls is in the midst of a turnaround under Erginbilgic, who was named as Warren East’s replacement in July 2022. Shares have risen more than 250 per cent since his arrival, with investor’s backing his no-nonsense cost-cutting approach.
