Nuclear deal gives consumers 'gain without pain'

Consumers will be protected from possible hikes in operational costs for the first time as part of a new deal to build Britain's first nuclear power station in a generation, the Energy Secretary announced.

Ed Davey said that he had ensured a value for money deal in which consumers would "gain share" but never "pain share" in the event of operational costs changing from current forecasts.

Ed Davey said consumers would "gain share" but never "pain share" in the event of operational costs rising.
Ed Davey said consumers would "gain share" but never "pain share" in the event of operational costs rising. Credit: Tim Ireland/PA Wire

He told the Commons: "The good news is we have negotiated a gain share for the consumer, the consumer has no pain share.

"If the construction costs go higher, that construction risk is taken by the developer, EDF; if the construction costs are lower the consumer will benefit. That's not happened before and it's a welcome protection for the consumer."

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Nuclear deal given go-ahead

A deal to build Britain's first new nuclear plant in a generation has been announced. The government has been in negotiations with EDF Energy over the Hinkley Point C project in Somerset for more than a year.