Wednesday 7th May 2025

(1 day, 12 hours ago)

Westminster Hall
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Llinos Medi Portrait Llinos Medi (Ynys Môn) (PC)
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I beg to move,

That this House has considered the development of new nuclear projects at Wylfa.

It is a pleasure to serve under your chairmanship, Sir John. I am leading today’s debate with one simple message to the Government: Wylfa is the best nuclear site in Europe and must be prioritised for new nuclear energy projects. We know that UK energy demand will likely double by 2050, as we develop the new technologies of the future and grow our economy. To reach our energy needs, nuclear power will play a part in the energy mix. It is a source of consistent baseload power, needed to cut our reliance on fossil fuels, improve energy security and keep energy bills down.

However, the last nuclear power station built in the UK was in 1995, and only one nuclear power plant is currently under construction, at Hinkley Point C. Wylfa is in prime position to help meet our energy needs by producing clean, reliable home-grown power for Wales and the rest of the UK, and it will last for 60 years. As Trade Unionists for Safe Nuclear Energy says:

“New nuclear development at Wylfa is imperative to retain and grow our incredible civil nuclear workforce. Sizewell C should not be the last Gigawatt project in the UK and Wylfa would create thousands of well-paid, highly skilled and unionised local jobs whilst supporting UK energy security by generating critical clean baseload power”.

How did we get to the situation where Wylfa has been overlooked? For context, it is worth recounting the history of nuclear generation at Wylfa. Two Magnox reactors were constructed at the site and came online in 1971. The Wylfa nuclear power station then generated electricity for 44 years. In 2012, both reactors reached the end of their operating life and were shut down by 2015. Plans for a successor project, Wylfa Newydd, were first proposed in 2009. Those plans were paused in 2019 and scrapped in 2021 after Hitachi withdrew, following a failure to reach a funding agreement with the then Conservative UK Government.

In March 2024, during the spring Budget, the then Chancellor, the right hon. Member for Godalming and Ash (Sir Jeremy Hunt), announced that the Wylfa and Oldbury sites would be purchased from Hitachi for £160 million. Since the current Government came to power last year, I have raised the issue of Wylfa several times in Parliament. I have been told by the Government that,

“we will work with Great British Nuclear to assess options for new nuclear at Wylfa”,

but there has been no further clarity on the project since.

The lack of clarity and urgency from the Government on Wylfa is all the more confusing, given that it is an excellent site for a new nuclear project.

Catherine Fookes Portrait Catherine Fookes (Monmouthshire) (Lab)
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I thank the hon. Lady for securing this debate. I welcome her shedding light on the terrible legacy of 14 years of Conservatives who did nothing to invest in Wylfa, but while this Government get to work on delivering the greatest upgrade to our energy system in decades, I believe Plaid Cymru is playing politics here. Is it not the case that the party’s previous leader came out against Wylfa and called new nuclear “the wrong answer” for Wales?

--- Later in debate ---
Llinos Medi Portrait Llinos Medi
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I thank the hon. Lady for that timely intervention, because I can say that I went out publicly against the leader of my party at the time and stood strongly for the people of Ynys Môn, recognising the need for nuclear as part of the energy mix and the Plaid Cymru policy being that Trawsfynydd and Wylfa are sites for future nuclear development.

Liz Saville Roberts Portrait Liz Saville Roberts (Dwyfor Meirionnydd) (PC)
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Given that nuclear is so significant for north-west Wales as a whole, this begs the question of what the future use of Trawsfynydd will be. I would like the Minister to update us on what discussions he has had with the Welsh Government in relation to Cwmni Egino and the potential use of this public-owned nuclear licensed site for an advanced modular reactor or radioisotopes, for example. What future does it have?

Llinos Medi Portrait Llinos Medi
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We need to make sure we do not lose the nuclear legacy in Wylfa and Trawsfynydd and the can-do attitude of our workforce, and we must make sure these sites work for those communities.

Jim Shannon Portrait Jim Shannon (Strangford) (DUP)
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I commend the hon. Lady. All the time that I have known her and the leader of her party here, the right hon. Member for Dwyfor Meirionnydd (Liz Saville Roberts), their commitment to nuclear has never been in doubt. Does the hon. Lady agree that it is essential that we safely implement a new nuclear power strategy that will ensure we have capability and capacity, as well as energy resilience—a topic that is foremost in our minds after the devastating effects of the power cuts in Europe? Does she also agree that it is possible to achieve net zero hand in hand with nuclear options?

Llinos Medi Portrait Llinos Medi
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Nuclear is an important component of reaching our clean energy goal of net zero and bringing costs down, which I will touch on later in my speech.

Wylfa is located in a perfect site. It is on higher ground with hard bedrock, ideal for construction of a nuclear power station. The risks of coastal flooding, erosion and sea level rises are considered to be low. Its proximity to seawater means there is a readily available and abundant supply of cooling water. The site has nuclear heritage, with an existing grid connection established in 1971. However, that is at risk of being taken up by a large solar farm on the island—all the more reason for the Government to commit to the site before the opportunity is lost.

Significant work has already been accomplished at the site by Horizon to characterise the site and to seek licences and planning consent. There is considerable public and political support for the project, both nationally and locally. Vendors are serious about the site. The Nuclear Industry Association has told me that it has hosted several interested vendors who want to build at Wylfa, but are waiting for the Government’s plan. What discussions has the Minister had with developers regarding the Wylfa site? Is the Government’s lack of clarity deterring investment?

The Government have argued that regulations are stifling new nuclear. They claim that

“The industry pioneered in Britain has been suffocated by regulations and this saw investment collapse, leaving only one nuclear power plant—Hinkley Point C—under construction.”

Rather than overburdensome regulations, in fact political will is the reason Wylfa has been left behind. During the 2024 general election, Labour pledged to

“end a decade of dithering that has seen the Conservatives duck decisions on nuclear power.”

At present, it seems that this pattern of delays and false dawns is continuing, which is all the more shocking when we consider the fact that the original planning application was lodged for Wylfa B in April 1989—36 years ago.

Let us compare ourselves with other countries that are pushing ahead with new nuclear projects, such as the Czech Republic. Within five years, the Czech Government have gone from endorsing new nuclear at Dukovany in July 2019 to issuing tenders to developers shortly after the Russian invasion of Ukraine, recognising the urgency of developing domestic energy generation capabilities, and are now on the verge of signing a fixed-price contract for two gigawatt nuclear power reactors at the price of $17 billion, which comes with a guarantee of at least $10 billion in work for the local area. Why can my community, which has been promised new nuclear at Wylfa for 50 years, not have the same benefits as Dukovany? What lessons are the Government drawing from the decisive steps that countries such as the Czech Republic have taken to invest in their nuclear industries in recent years?

What benefits would new nuclear at Wylfa bring to local people? It is estimated that a gigawatt plant at Wylfa would create 850 long-term jobs and 10,000 in the shorter-term construction. It would generate £90 million in wages annually for the local economy and likely nearly £40 million in business rates. The impact would be incredible, given that the decline of stable, well-paid employment in north Anglesey has left the area with fewer than 2,300 jobs. The project would bring good, well-paying, long-term jobs to north Wales, an area in desperate need of opportunity and new industry.

The Horizon project plan for Wylfa also estimated that 45% of the operational staff at the site would have come from north Wales and Anglesey, helping to draw back and retain Welsh speakers on the island. Wages would be well above the Anglesey average of £630 per week, helping to reverse the rising deprivation, low wages and economic inactivity in the region. Nuclear workers in Wales and the whole of the UK contributed around £102,300 per person in gross value added in 2022, four times the Welsh average of £23,804 per person. Construction of a large modular reactor at Wylfa would generate £5 billion in opportunities for the supply chain. A gigawatt project would be the single biggest inward investment in Welsh history.

The Government say that their No. 1 priority is growth. Backing investment in Wylfa is an obvious way to improve livelihoods and secure our energy supply for the long term. Despite those clear advantages, however, I am concerned about the Government’s approach: they have removed the list of designated sites, which included Wylfa, from their new nuclear planning policy. Their decision to consult on a new planning policy without committing to established sites such as Wylfa is creating damaging uncertainty and deterring the very investments we need.

I reiterate that Wylfa is the best site in Europe for a new nuclear project. What we need now is a clear strategic business case, a funding commitment and a timeline that gives developers the confidence to move forward. Of course I am supportive of future nuclear developments, including the next generation technologies such as small and advanced modular reactors, being prioritised at existing sites approved under the previous nuclear planning policy documents, which includes Wylfa, before other sites are looked at.

I will conclude by saying that it is astonishing that Wylfa, a site with proven capability, global potential and cross-party support, has been stuck in limbo for decades. People in Ynys Môn are fed up with the Labour Government, and the Tories before them, dragging their feet on this. Investors are ready, the community is supportive and the need for clean, secure energy has never been greater. What we need now is leadership, a clear decision, a funding commitment and a timeline to match the urgency of the moment. Will the Government finally give the people of Ynys Môn assurance that Wylfa will play a central part in their mission for the UK to become a clean energy superpower? Diolch.

John Hayes Portrait Sir John Hayes (in the Chair)
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I call the Under-Secretary of State for Energy Security and Net Zero, the hon. Member for Rutherglen (Michael Shanks).