Rolls-Royce (LSE:RR) has announced that its subsidiary Rolls-Royce Small Modular Reactor (SMR) has signed a landmark contract with Great British Energy – Nuclear, paving the way for the design and delivery of the UK’s first small modular reactors.
Rolls-Royce SMR will start work immediately on three SMRs at Wylfa, on the coast of Ynys Môn (Anglesey) in North Wales.
UK Prime Minister Sir Keir Starmer announced in November 2025 that Wylfa would be the host for the country’s first SMRs, and today’s agreement is the first step in making this happen.
Rolls-Royce SMR Chief Executive Chris Cholerton says that “this contract unlocks the delivery of our first three units at Wylfa and is a tangible example of the Government’s ‘golden age’ of new nuclear being delivered successfully with British technology”.
“This brings certainty to the UK SMR program and differentiates our business as the only SMR company with multiple commitments in Europe — an initial three units at Wylfa and up to six units in Czechia.
“We are transforming the way nuclear projects are delivered, to give greater cost and schedule certainty with a standardised, factory-built approach. This project is important to the UK’s energy security and will power up our business and UK supply chain.”
Secretary of State for Energy Security and Net Zero, the Rt Hon Ed Miliband MP said that at a time of global instability, this deal represents “a major milestone for Britain’s energy security”.
“We are backing a British company to deliver our first small modular reactors — creating a generation of good jobs, driving growth, and providing clean, homegrown power for decades to come,” Miliband says.
“Our clean energy mission is the only route to getting off the roller coaster of fossil fuels and taking back control of our energy independence.”
Rolls-Royce SMR received a loan through the National Wealth Fund, receiving approval for a loan facility up to £599 million ($1,142.2 million) in available support toward the finalisation of the generic design of the SMR.
Rolls-Royce SMR notes that each SMR power plant will be able to generate enough stable low-carbon electricity to power a million homes for more than 60 years.
The company also notes that it is currently up to 18 months ahead of any competitors in its regulatory approvals across Europe and looks to become a world leader in SMR technology.
According to the World Nuclear Association, the UK currently generates around 15% of its electricity from about 5.9 gigawatt electric (GWe) measures of nuclear capacity.
Most of the country’s existing capacity is set to retire by 2030, but there is a new generation of nuclear plants under construction. The government has called for up to 24GWe of new nuclear capacity by 2050 to provide about 25% of electricity.
Write to Amy Rotman at Mining.com.au
Images: Rolls-Royce SMR
