£196 million for high-tech nuclear fuel facility and new measures for fusion energy
- UK to build first high-tech nuclear fuel facility in Europe to shut Putin’s Russia out of the global market and create hundreds of jobs to improve energy security at home and abroad
- high-assay low enriched uranium (HALEU) will power the UK’s future civil nuclear power stations, support 400 highly-skilled jobs and boost Cheshire
- announced competition for up to £600 million in contracts to build the world’s first commercially viable fusion power station prototype
The UK will be the first European nation to produce advanced nuclear fuel – a market currently dominated by Russia – to help fuel nuclear power plants at home and abroad. This is part of the government plan to push Putin out of the global energy market and drive down energy bills.
The UK will build Europe’s first facility to power future nuclear reactors - helping to isolate Russia from global energy markets, boost British energy security and provide reliable, affordable energy.
The government is awarding £196 million to Urenco to build a uranium enrichment facility. This will produce fuel by 2031 that would be ready to export or use domestically, and could power UK homes in the next decade. It will put an end to Russia’s reign as the only commercial producer of high-assay low enriched uranium (HALEU) and ensure other countries are not reliant on Russian exports.
The new facility will support around 400 highly-skilled jobs, helping to boost the local supply chain and grow the economy. Located at Capenhurst in Cheshire, this will cement the status of the North-West of England as a world leader in nuclear fuel production. This builds on the Prime Minister’s ‘national endeavour’ to secure the future of the UK’s thriving nuclear industry – investing at least £763 million in skills, jobs, and education.
In the 2 years since Putin illegally invaded Ukraine, the UK has led the way in cracking down on Russian oil and gas imports. Now, the UK is working with its nuclear allies to build a secure global uranium supply chain free from Russian influence.
The UK is also leading the way in fusion energy development, as engineering and construction companies will be invited on to bid for up to £600 million to build the first commercially viable fusion prototype power plant at a former coal plant in Nottinghamshire. Fusion could generate a near limitless source of clean electricity, securing the UK’s long-term energy independence.
Secretary of State for Energy Security and Net Zero, Claire Coutinho, said:
We stood up to Putin on oil and gas, and we won’t let him hold us to ransom on nuclear fuel.
Backing Urenco to build a uranium enrichment plant here in the UK will mean we are the first European nation outside Russia to produce advanced nuclear fuel.
This will support hundreds of new jobs, bring investment for the people in Cheshire and is a huge win for energy security at home and abroad.
