The SMR program, run by government agency Great British Nuclear (GBN), dates back to 2023 and the previous Conservative government.
Rolls-Royce was announced as the government’s partner this week, alongside the £2.5 billion investment figure. GBN was rebranded Great British Energy–Nuclear and is newly described as an “allied company” to GB Energy.
Spending review documents published Wednesday state that “Great British Energy and Great British Energy–Nuclear will invest more than £8.3 billion over this parliament in homegrown clean power.”
Two government officials denied that the decision amounted to a cut to GB Energy’s budget, pointing to a reference in the company’s founding statement that raised the possibility of GBN’s functions being “aligned” with the new company.
A third government official said the decision had come “very last minute” in the days before Reeves’ spending review. The officials were granted anonymity to speak freely about the decision.
The documents also show that £4 billion of GB Energy’s budget is categorized as “financial transaction” funding, which means it can be used for grants and minority investments in clean energy, but which cannot be used to own and operate projects.
The third government official said this would limit the firm’s freedom and amounted to an attempt by the Treasury to assert control over the fledgling public energy firm.
The Treasury declined to comment on the record.