Nuclear reactor development company newcleo is to suspend operations in the UK and concentrate work in countries where ‘substantive support is more forthcoming’ after failing to gain government backing for the reuse of nuclear fuel.
In a statement, the company said that following a review of the company’s global programmes.
It said: “The board of newcleo has resolved to concentrate the group’s resources on territories committed to realising a closed fuel cycle (including the reuse of spent nuclear fuel and achieving energy independence) and those who are more substantively supportive of the development of AMR technologies.
“As a consequence, newcleo will be suspending its programme to develop Lead-Cooled Fast Reactors (LFR) in the UK and will substantially wind down its UK activities.’
Led by Stefano Buono the advanced modular reactor (AMR) developer has blamed government policy for its decision which could affect around 150 staff.
The company says it has continuously engaged with successive government administrations on access to the UK’s stock of stored plutonium which newcleo had planned to recycle for use as new fuel for its reactors as well as underlining the need for clear “in principle” government support for projects.
The company said: “Despite support and funding being provided to other Small Modular Reactor (SMR) technologies, opportunities for this backing have not been forthcoming for Generation IV developers in the UK such as newcleo.
“In addition, the alternative routes to market for AMRs which have been mooted for a number of years in UK policy, including processes involving Great British Energy – Nuclear and National Wealth Fund, are unlikely to offer certainty of tangible support in a timeframe capable of making the UK a better prospect for newcleo compared to other territories.”
newcleo plans to retain a reduced UK team to maintain its presence in the UK saying this will allow it to ramp up its activity should the outlook for AMRs in Britain improve in future.
The company is writing to the Government requesting meetings to explore any new proposals that could alter or reverse the business’ decision.
Mr Buono added: “newcleo is taking this decision with a heavy heart and I am profoundly disappointed both for our UK team and for what this might mean for the development of new nuclear in the UK.
“We chose to start our company in Britain when we launched newcleo in 2021 because we saw it as the most progressive and entrepreneurial environment for advanced nuclear technologies.
“We had a vision to not only build safe, affordable low-carbon power plants but to provide a sustainable solution to the issue of the UK’s spent nuclear fuel – turning something which is currently stored as waste into a valuable source of clean energy.”
Support for the workers affected in the UK has already come from the nuclear industry in West Cumbria.
Dianne Richardson, chief executive of Britain’s Energy Coast Business Cluster, said: “We’re sad to see the news that newcleo are withdrawing from the UK.
“They’ve been a valued member of our cluster for the last couple of years showing their commitment to nuclear regions here.
We’d like to extend an invitation to newcleo’s UK staff to access our meetings to network and build connections for a new role, please just get in touch. We’re also happy to share CVs with our members who may have suitable roles.”
