Photo: Chancellor of the Exchequer, Rachel Reeves (centre) with East Midlands MPs (left to right) Baggy Shankar, Catherine Atkinson, Jo White and James Naish
Rushcliffe and Nottinghamshire residents will benefit from two significant announcements as part of the government’s upcoming Spending Review which will promote the nuclear industry, a sector that Rushcliffe’s MP, James Naish, has long championed.
In addition to the headline announcement of a £14.2 billion investment to build a traditional nuclear power plant at Sizewell C in Suffolk, on Tuesday morning, the Chancellor confirmed that Derby-based Rolls-Royce would supply the first small modular reactor (SMR) in the UK as part of a “fleet” of SMRs being procured by the government, creating up to 3,000 jobs at peak construction.
James Naish MP said: “I am passionate about the nuclear industry because of the volume of high-quality, long-term jobs that it creates, so I’m delighted that Rolls-Royce has won the SMR contract.”
The government’s backing for large and small nuclear technologies will help to ensure long-term energy security for the UK, with SMRs expected to power around 3 million homes and businesses with clean energy as well as helping power-hungry industries like AI data centres. The global SMR market is projected to be worth up to £500 billion by 2050.
James Naish welcomed a second major announcement for Nottinghamshire in his capacity as Chair of the All-Party Parliamentary Group on Fusion Energy. The government is making a record investment in fusion, spending £2.5 billion over the next five years. This includes progressing the STEP programme (Spherical Tokamak for Energy Production) which is a world-leading prototype fusion energy plant being built in north Nottinghamshire.
James worked in the energy sector before being elected to parliament and has previously sat on the board of Midlands Nuclear. He welcomed the three announcements, saying: “My constituents consistently tell me that they want to see the government back nuclear at scale and today, this has happened with commitments to Sizewell C, SMRs and fusion. I know many of my constituents in Rushcliffe will benefit directly.”
The announcements follow reforms to planning rules announced by the Prime Minister in February 2025 to make it easier to build nuclear across the country. The government will also be encouraging private sector advanced nuclear projects in the UK through a £300 million investment.
James continued: “The £2.5 billion fusion energy investment over five years follows an initial £410 million investment announced in January. It builds on the UK’s global leadership in fusion technologies in the Oxford-Cambridge corridor, and will help to design and deliver the UK’s flagship fusion project taking place here in Nottinghamshire.
“I already have Rushcliffe constituents and businesses working in the supply chain for STEP, and the University of Nottingham and many other local organisations are involved. I’m excited about how both investments – SMR and fusion – will bring high-quality jobs and apprenticeships to our area.”
Chancellor of the Exchequer, Rachel Reeves, said: “Today, we are once again investing in Britian’s renewal, with the biggest nuclear building programme in a generation. This landmark decision is our Plan for Change in action. We are creating thousands of jobs, kickstarting economic growth and putting more money in people’s pockets.”
Energy Secretary Ed Miliband said: “We will not accept the status quo of failing to invest in the future and energy insecurity for our country. We need new nuclear to deliver a golden age of clean energy abundance, because that is the only way to protect family finances, take back control of our energy, and tackle the climate crisis.”
There have been several high-profile announcements about the East Midlands since the Autumn Budget last year which have been welcomed by local and regional leaders as they seek to overturn years of underfunding and underinvestment.
James Naish MP said: “In the past few months, we’ve heard about a £1 billion investment at East Midlands Airport, £2 billion for transport across Nottinghamshire and Derbyshire, and £9 billion for Rolls-Royce to design, manufacture and support the nuclear reactors that power the Royal Navy’s fleet of submarines. Coupled with these announcements today, it suggests that there has been a significant change in attitude towards the East Midlands which is great to see given its significant potential to power the UK economy.
“As I said last week, we are working hard as a group of local MPs, together with the East Midlands mayor Claire Ward, to get the very best for our region. We have received yet another significant boost today which suggests that our approach is working, and I wholeheartedly welcome this news.”
**
Notes
Sizewell C
Sizewell C was one of eight sites identified in 2009 by then-Energy Secretary Ed Miliband as a potential site for new nuclear. However, the project was not fully funded in the 14 years that followed under subsequent Governments.
The Government’s nuclear programme is now the most ambitious for a generation – once small modular reactors and Sizewell C come online in the 2030s, combined with Hinkley Point C, this will deliver more new nuclear to grid than over the previous half century combined.
Stakeholder comments:
Mike Clancy, General Secretary of Prospect, said:
“Delivering this funding for Sizewell C is a vital step forward, this project is critical to securing the future of the nuclear industry in the UK. New nuclear is essential to achieving net zero, providing a baseload of clean and secure energy, as well as supporting good, unionised jobs.
“Further investment in SMRs and fusion research shows we are finally serious about developing a 21st century nuclear industry. All funding must be backed up by a whole-industry plan to ensure we have the workforce and skills we need for these plans to succeed.”
Tom Greatrex, Chief Executive of the Nuclear Industry Association, said:
“This new nuclear programme will give the country the jobs, the economic growth and the energy security we need to ensure a secure and reliable power supply for the future. This announcement shows the government is serious about new nuclear, and realising the economic benefits that come with it, and will be welcomed in communities the length and breadth of Britain.”
