In a major step toward revitalising the UK’s energy sector, Rolls-Royce SMR has been chosen as the preferred bidder to partner with the newly renamed Great British Energy – Nuclear to develop small modular reactors (SMRs).
This strategic partnership, subject to final government approvals and contract signing, marks the beginning of a new era for British nuclear energy.
Commenting on the landmark partnership, UK Energy Secretary Ed Miliband said: “We are ending the no-nuclear status quo as part of our Plan for Change and are entering a golden age of nuclear with the biggest building programme in a generation.
“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 small modular reactors – creating thousands of jobs and growing our regional economies while strengthening our energy security.”
SMRs: Fast, flexible, and future-proof
Small modular reactors are a new class of nuclear power technology. Unlike traditional large-scale nuclear plants, SMRs are built in factories using modular components, making them faster to construct, more scalable, and potentially cheaper to deploy.
Typically producing up to 470 megawatts of electricity each – enough to power a city – SMRs are designed with enhanced safety systems and a smaller physical footprint.
The modular design allows SMRs to be deployed in a wider range of locations, including former industrial or coal sites, with lower upfront costs and shorter construction timelines compared to conventional reactors.
The government is also updating planning rules to speed up the construction of new nuclear sites, including SMRs, across the UK.
Clean energy vision backed by billions
The UK government is investing over £2.5bn in the SMR programme during this Spending Review period, forming a cornerstone of its modern Industrial Strategy.
Designed to support the regeneration of Britain’s industrial heartlands, the project aims to create up to 3,000 skilled jobs and deliver clean, reliable electricity to power around three million homes.
Strategic rollout targets the mid-2030s
Great British Energy – Nuclear, now a publicly owned arm working jointly with Great British Energy, plans to finalise contracts with Rolls-Royce SMR later this year.
The company will also establish a development firm, allocate project sites, and begin connecting small modular reactors to the grid by the mid-2030s.
This rollout, alongside the completion of Hinkley Point C and Sizewell C, will see more nuclear power added to the grid in the 2030s than in the last 50 years combined.
Gwen Parry-Jones, CEO of Great British Energy – Nuclear, added: ”We are proud to lead this national mission. Nuclear is the cornerstone of the UK’s energy strategy, and today’s announcement will accelerate deployment.
“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.”
Global race for SMR leadership
The decision to select Rolls-Royce SMR follows a rigorous two-year competitive process launched in July 2023.
As the company nears the final stage of regulatory assessment, this partnership positions the UK as a frontrunner in a global SMR market projected by the International Energy Agency to be worth nearly £500bn by 2050.
This strategic move sets the stage for Britain to lead in the next generation of nuclear technology, bolstering energy security while driving down emissions.
