The United States and the United Kingdom have announced a series of significant agreements aimed at accelerating the development of the nuclear sector in the UK and enhancing energy security. During President Donald Trump’s state visit to the UK this week, plans were unveiled to reduce the licensing period for nuclear projects from four years to just two. Additionally, these agreements will facilitate greater access for US companies to the UK energy market.
Major Investments in Nuclear Technology
As part of the initiative, X-Energy, based in Maryland, has partnered with the UK’s Centrica to construct up to 12 advanced modular reactors in Hartlepool. This development is projected to generate enough electricity to power approximately 1.5 million homes and create up to 2,500 jobs in the area. In another notable agreement, Holtec, a Florida-based company, has signed an £11 billion deal with EDF and Tritax to develop advanced data centres that will be powered by small modular reactors at the site of the former Cottam coal-fired power station in Nottinghamshire.
Furthermore, Last Energy, located in Washington, has reached an £80 million agreement with DP World, a leading logistics company, to establish one of the world’s first micro modular nuclear power plants. This facility will supply energy for the expansion of DP World’s London Gateway port and business park.
Pushing Towards a Sustainable Future
Energy Secretary Ed Miliband expressed optimism about the new agreements, stating, “We’re kickstarting a golden age of nuclear in this country, joining forces with the US to turbocharge new nuclear developments and secure the technologies of the future.” He emphasized that nuclear energy will provide homes with clean, domestically-produced power while also creating skilled jobs in the UK.
Doug Burgum, the US Secretary of the Interior, echoed these sentiments, highlighting the importance of international partnerships in advancing nuclear technologies. He noted, “Strengthened nuclear cooperation with the UK reinforces our unshakable commitment to technological leadership, global security, and the responsible stewardship of nuclear power.”
This announcement comes at a critical time as the UK government seeks to address rising energy costs, which have nearly doubled for households over the past eight years. In addition to increasing the domestic energy supply through nuclear initiatives, Chancellor Rachel Reeves is reportedly considering measures to reduce VAT on energy, potentially lowering consumer prices.
Nonetheless, some critics have raised concerns about the effectiveness of such tax cuts, warning that they may disproportionately benefit wealthier households with larger homes. The estimated cost to the government for implementing this VAT reduction could reach nearly £2 billion.
As the UK looks to enhance its energy landscape, the agreements with the US represent a significant step towards a more sustainable and secure energy future, leveraging advanced nuclear technology to meet growing demands.
