UK and US at odds over nuclear deal as Britain gives green light to domestic firm for new reactors.
The UK's decision to allocate Wylfa on Anglesey, Wales, to host small modular reactors (SMRs) has sparked tension with the US, with Washington accusing its British counterpart of "home bias". The move means that Rolls-Royce SMR will build three units at the site, a development that has left US Ambassador Warren Stephens disappointed.
Critics argue that this choice is little more than a case of Britain favouring its own domestic industry over international partnerships. However, insiders say the decision was always going to be in favour of Rolls Royce, given the benefits of hosting nuclear reactors on government-owned land and the fact that Wylfa previously hosted a Magnox reactor.
The real test of this strategy will come when the full potential of the SMR technology becomes clear. So far, the only major order for the technology is from the Czech Republic, with no indication that costs can be reduced to match those of larger reactors like Hinkley Point C and Sizewell C.
However, some analysts believe that the choice of Wylfa could prove beneficial in the long run. The site has the potential to accommodate five more units, which would give Britain a significant advantage over its competitors. It remains to be seen whether this will translate into cost savings for consumers.
One possible consolation prize for the US is that Westinghouse will still have the opportunity to compete for future large-scale reactor projects in the UK. However, critics argue that Washington should have been given more advance warning of the decision before it became public.
While hopes are high that SMR technology could become a major export earner for Britain, there remains significant uncertainty over its viability. The first electricity from Wylfa is unlikely to be generated until the mid-2030s, and costs will only start to fall as more units come online.
Ultimately, giving priority to domestic firms may have been the best course of action, but it comes with a warning: if Britain wants to maximise its chances of success in this field, it needs to be prepared for setbacks and keep working towards a goal.
The UK's decision to allocate Wylfa on Anglesey, Wales, to host small modular reactors (SMRs) has sparked tension with the US, with Washington accusing its British counterpart of "home bias". The move means that Rolls-Royce SMR will build three units at the site, a development that has left US Ambassador Warren Stephens disappointed.
Critics argue that this choice is little more than a case of Britain favouring its own domestic industry over international partnerships. However, insiders say the decision was always going to be in favour of Rolls Royce, given the benefits of hosting nuclear reactors on government-owned land and the fact that Wylfa previously hosted a Magnox reactor.
The real test of this strategy will come when the full potential of the SMR technology becomes clear. So far, the only major order for the technology is from the Czech Republic, with no indication that costs can be reduced to match those of larger reactors like Hinkley Point C and Sizewell C.
However, some analysts believe that the choice of Wylfa could prove beneficial in the long run. The site has the potential to accommodate five more units, which would give Britain a significant advantage over its competitors. It remains to be seen whether this will translate into cost savings for consumers.
One possible consolation prize for the US is that Westinghouse will still have the opportunity to compete for future large-scale reactor projects in the UK. However, critics argue that Washington should have been given more advance warning of the decision before it became public.
While hopes are high that SMR technology could become a major export earner for Britain, there remains significant uncertainty over its viability. The first electricity from Wylfa is unlikely to be generated until the mid-2030s, and costs will only start to fall as more units come online.
Ultimately, giving priority to domestic firms may have been the best course of action, but it comes with a warning: if Britain wants to maximise its chances of success in this field, it needs to be prepared for setbacks and keep working towards a goal.