The UK Labour Government have announced the largest nuclear building programme in a generation, investing £14.2 billion in Sizewell C and selecting Rolls-Royce SMR to build the UK’s first small modular reactors. The memorandum of understanding between the Welsh Government and Sizewell C Consortium could bring £900 million-worth of jobs into the Welsh nuclear supply chain. The Government also recognise Wylfa as one of the UK’s top sites for future nuclear development.
I thank the Minister for that answer. Nuclear must be an important part of our energy security strategy. It is both clean and reliable, and creates good jobs for local communities. What more can the Secretary of State do to encourage and incentivise new nuclear power in Wales and across all parts of the United Kingdom?
As the hon. Gentleman will know, Great British Energy Nuclear has confirmed that, subject to final Government approvals and contract signature, it has selected Rolls-Royce SMR to build the UK’s first small modular reactors. No decisions have yet been taken on siting. We will be setting out our plans in due course. Further to that, as I have already mentioned, the project at Sizewell C will create enough power for 6 million homes and in the peak of construction support 10,000 jobs. It will boost supply chains across the UK. Some 70% of the construction value is predicted to go to 3,500 British suppliers, including companies such as William Hare Group in south Wales, supporting new jobs in construction, welding and hospitality.
I was thrilled to hear that Boccard will today be opening its new nuclear manufacturing facility in north Wales. Does the Minister agree that north Wales has the skills and the sites to realise the economic potential of our nuclear industry, and two Labour Governments ready to deliver on it?
Absolutely; I agree with my hon. Friend. I am very pleased indeed today that Boccard is opening its new nuclear manufacturing facility in Deeside. This is an example of the UK Government and the Welsh Government working together to onshore our nuclear supply chain, thus safeguarding 59 jobs in this instance and creating in excess of 150 new positions.
13. What discussions she has had with the Welsh Government on the potential impact of the spending review 2025 on Wales.
Industrial Strategy
Cross-border Rail Connectivity
Oxford to Cambridge Rail Line
Family Farms
Offshore Wind
Defence Spending
Prime Minister
Engagements
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The Secretary of State for Wales (Jo Stevens)
LabourCardiff East
Through the spending review, we are providing a record £22.4 billion per year on average for the Welsh Government; investing at least £445 million in Welsh rail; investing £211 million a year in local growth funding; and providing £118 million of new funding for coal tip safety. This Labour Government are investing in Wales’s economy, public services and people. We have ended Conservative austerity.
I was pleased to see funding for a number of transport projects in Wales in the spending review, not least because my city of Edinburgh is now linked directly by rail to the Secretary of State’s city of Cardiff. Lumo, which runs services in Scotland through open access, is hoping to begin a service through south Wales. Does the Minister agree with me that the spending review presents a fantastic opportunity for such projects, which create jobs, strengthen the Union and boost the UK’s economy?
I very much agree with the hon. Lady about the benefits to the Union of the significant investment that this Government are making in transport. I am very happy to take away her comment on Lumo and open access, and talk to the Rail Minister on her behalf.
I was pleased to hear the Secretary of State explain in evidence to the Welsh Affairs Committee last week that Wales will receive a Barnett consequential of some £200 million as a result of transport announcements for English mayoral combined authority areas made in the lead up to the spending review. Could the Secretary of State clarify whether she was referring to the transport for city regions funding, which was announced on 4 June? The Chief Secretary to the Treasury stated in an answer to a written question that it was not possible to identify the specific Barnett consequential arising from that programme.
My understanding is that the just over £200 million figure that I referred to in my evidence to the Welsh Affairs Committee relates to the combined mayoral authority announcements that were made prior to the spending review.
I am delighted that the £500 million announced for the steel industry in the spending review has already been translated into boots on the ground and high-vis jackets with the commencement of the building of the electric arc furnace, safeguarding 5,000 jobs. Will the Secretary of State join me in welcoming the fantastic progress that has already been made in the steel industry and in supply chains all across Wales?
I thank the Chair of the Welsh Affairs Committee for her question. Monday was a really significant day for Welsh steelmaking. I was at the groundbreaking ceremony to begin construction of the electric arc furnace, which will be one of the largest in the world, securing 5,000 jobs and the future of steelmaking in Port Talbot for years to come. It has been made possible by £1.25 billion of investment, including £500 million from this Government, as well as our £80 million to support workers and the wider steel community, and will benefit not just Port Talbot but downstream sites. This has been a really challenging time for steelworkers across Wales, but I think this week marks a real turning point, securing a bright future for years to come.
As a result of the UK Government’s half a billion pound investment in the future of steel in Port Talbot, construction has now begun on the new electric arc furnace. Will the Secretary of State share what this fantastic news means for Port Talbot and the surrounding communities, like my own of Neath and Swansea East?