Question to the Department for Business, Energy and Industrial Strategy:

To ask the Secretary of State for Business, Energy and Industrial Strategy, how his Department will (a) calculate and (b) apply an economic charge for an indemnity to cover increased personal injury liabilities for the 10-to-30-year period of liability under the Paris Convention on Third Party Liability in the Field of Nuclear Energy.

The Government has agreed to provide a targeted and limited indemnity, for an economic charge to cover a current gap in the insurance market. The economic charge is calculated by considering a number of factors including risk, claims cost, type of nuclear site and the number of sites. The charge is applied directly from the Department to those nuclear operators who utilise the indemnity. The indemnity will be reviewed annually to ensure that it remains the best value for money option and remains necessary whilst the insurance market works towards filling the cover gap.