The UK government announced on Tuesday that Rolls-Royce SMR, a subsidiary of the UK-based global power and propulsion systems group Rolls-Royce, has been selected as the preferred bidder for the country’s small modular nuclear reactor (SMR) programme. The UK SMR programme was being implemented by Great British Energy – Nuclear (previously Great British Nuclear), a State-owned company, and would receive State funding of more than £2.5-billion over the next four years.

“Great British Energy – Nuclear has run a rigorous competition and will now work with the preferred bidder Rolls-Royce SMR to build the country’s first-ever [SMRs] – creating thousands of jobs and growing our regional economies while strengthening our energy security,” highlighted UK Energy and Net-Zero Secretary (Cabinet Minister) Ed Miliband.

The SMR programme is intended to help turn the country into a “clean energy superpower”, under the UK government’s Plan for Change policy. The competition which was won by Rolls-Royce SMR lasted two years. The SMR programme is expected to support up to 3 000 jobs during its peak construction period and generate enough power to power the equivalent of some three-million of today’s UK homes.   

“The UK is back where it belongs, taking the lead in the technologies of tomorrow with Rolls-Royce SMR as the preferred partner for this journey,” affirmed UK Chancellor of the Exchequer (Finance Minister) Rachel Reeves. “We’re backing Britain with Great British Energy – Nuclear’s ambition to ensure 70% of supply chain products are British built, delivering our Plan for Change through more jobs and putting more money in people’s pockets.”

“This is a day to celebrate a milestone achievement,” enthused Rolls-Royce SMR CEO Chris Cholerton. “This success is testament to our incredible team which has developed a world-leading technology and worked tirelessly over the last two years to ensure we could provide a winning tender to [Great British Energy – Nuclear]. As well as delivering affordable, clean energy to support our nation’s energy independence – deploying three of our units will drive domestic growth by creating thousands of highly skilled, well-paid jobs and supply chain opportunities. We are the only SMR company with multiple commitments to build projects in Europe, testament to our differentiated design and compelling offer.”

SMRs are much smaller than conventional nuclear power plants (NPPs). Moreover, they will be assembled on site from prefabricated modules manufactured in factories. These factors are expected to significantly reduce their cost, compared with conventional NPPs, while increasing the speed and flexibility of their deployment. Additionally, because they will be built in factories, unit cost is expected to decline, in real terms, as the number of units produced increases.

Further, the UK government planned to amend the country’s planning rules, to make it easier to construct both SMRs and NPPs.

“Nuclear is the cornerstone of the UK’s energy strategy, and today’s announcement will accelerate deployment,” stressed Great British Energy – Nuclear CEO Gwen Parry-Jones. “Together with Rolls-Royce SMR, our selected preferred bidder, and subject to government approvals and contract signature, we will deliver a programme that is technically world-class and delivers real value to the British people – through energy security, economic opportunity, and environmental leadership.”

The SMR announcement was not the only major one made on Tuesday regarding nuclear energy in the UK. The government also announced that it would invest £14.2-billion into the Sizewell C new large nuclear power project (NPP). The two-reactor Sizewell C NPP will have a capacity of 3 200 MWe, with the project being led by French State-owned group EDF.

The government also pointed out that it was investing £2.5-billion in nuclear fusion research and development, over a period of five years.

“[We] are entering a golden age of nuclear with the biggest building programme in a generation,” said Miliband.