Nuclear: Small Modular Reactors

Baroness Winterton of Doncaster Excerpts

Monday 19th May 2025 Lords Chamber

[Lord Hunt of Kings Heath (Lab)]

My Lords, we are well aware that both AI and data centres will lead to a major increase in electricity demand. We are also aware of experience in the US, and interest in this country, in linking these AI data centres to nuclear development. The EN-7, the siting policy for nuclear sites, which we are debating in your Lordships’ House on Wednesday, gives us a more flexible siting policy as a result. We are well aware of the potential. We are working very hard to consider how we can encourage this development with private sector funding. I take the noble Earl’s point about the need for us to be very clear about where we are going in this area; I very much accept that.

[Baroness Winterton of Doncaster (Lab)]

My Lords, I thank my noble friend the Minister for the positive discussions he has had with colleagues in the public and private sectors with regard to the manufacture of small modular reactors in South Yorkshire, but I am very aware that it is not just his department but the Treasury. Will he impress upon the Treasury the fact that the Czech and Korean Governments are forging ahead with design and technology of SMRs and that unless we get our skates on about the urgency of this, we will be buying SMRs from overseas and not making them in this country?

[Lord Hunt of Kings Heath (Lab)]

My Lords, I need no encouragement from my noble friend to knock on the doors of the Treasury. That is what we have been doing over the last few weeks, and having, I hope, very constructive discussions. I pay tribute to our former colleague Richard Caborn, the work he is doing in South Yorkshire in relation to the nuclear supply chain and the developments he is encouraging. I had a very good meeting with him and colleagues only a few weeks ago, and we are certainly very much apprised of the need for urgency. I am confident that we have a real opportunity in this country to develop SMRs and to see a strong UK supply chain. We should not be pessimistic. We have a great opportunity here.