1,000 new jobs for UK’s £600m nuclear plan with Rolls-Royce

Rolls-Royce has been given around £600 million to help develop the UK’s first mini-nuclear power plant. The loan from Rachel Reeves’ National Wealth Fund is expected to create around 1,000 jobs at the company.

The engineering giant, which is a separate entity from the luxury car brand, specialises in power systems for the defence and energy markets. It will partner with the Government to build three small modular reactors (SMRs) at Wylfa on Anglesey. Great British Energy – Nuclear (GBEN), a public body sponsored by the Government’s Department for Energy Security and Net Zero, will provide Rolls-Royce with the funds to complete design work and planning applications.

As reported by The Telegraph, construction of the plant will begin in the early 2030s, with the facility expected to be completed by the mid-2030s. However, GBEN has already started ground preparation works ahead of the project.

The three modular reactors will have a combined capacity of around 1.4 gigawatts. This is enough to power three million homes for over 60 years.

The Chancellor said: “This investment, along with vital financing from the National Wealth Fund, will strengthen our energy security, create skilled jobs and help to build a new generation of homegrown nuclear technology that will power our economy for decades to come.”

Ed Miliband, the Energy Secretary, added: “At a time of global instability, this is a major milestone for Britain’s energy security. We are backing a British company to deliver our first small modular reactors – creating a generation of good jobs, driving growth and providing clean, home-grown power for decades to come.”

Wylfa previously generated nuclear power from 1971 until 2015 before it shut down its last reactor. Japanese conglomerate Hitachi had planned to build a new power station there but failed to agree on government funding.

The site was then bought by GBEN in 2024 before Rolls-Royce was identified as the Government’s preferred partner for the project last year. The Labour Party is hoping that nuclear energy provided through the new plant will generate electricity without carbon dioxide emissions.

Simon Bowen, the chairman of GBEN, said: “This is an immense moment for the UK nuclear programme, our organisation and the industry as a whole. Today represents a true recognition of the efforts made across GBEN, Rolls-Royce SMR and Government to get to this point, and I’m hugely proud of the team for reaching this critical milestone.”

Chris Cholerton, the chief executive of Rolls-Royce SMR, added: “This contract unlocks the delivery of our first three units and brings certainty to the UK SMR programme.”