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EDF cuts stake in Sizewell C to just 12.5% amid soaring nuclear costs

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Open-access content Jack Loughran

Wed 9 Jul 2025

French energy giant EDF has confirmed it plans to take just a 12.5% stake in the upcoming Sizewell C nuclear power plant once negotiations with the UK government are finalised.

The project started in 2015, with EDF planning to take an 80% share and the China General Nuclear Power Group (CGN) funding the remaining 20%. 

But in 2022, security concerns about China caused the UK government to buy out CGN from the development for just over £100m and increase its stake to 50%, with EDF retaining the other 50%. 

Since then, EDF has been slowly reducing its stake in the project, which coincided with major losses suffered during the building of Hinkley Point C. 

EDF confirmed that it now plans to invest just £1.1bn in Sizewell C, in return for a 12.5% share in the project. 

“This investment would be made at the time of the final investment decision by the project once the negotiation of agreements with the UK government and investors is finalised,” it said. 

The government has so far committed £17.8bn to Sizewell and is expected to remain its biggest shareholder, with at least two-thirds of the cost to be funded by debt.

Welcoming EDF’s investment, Prime Minister Keir Starmer said: “I’ve been clear there will be no more dithering and delay on Sizewell C – and this investment takes us a step closer to the benefits it will bring to the British people.”

Both Centrica, which owns British Gas, and Canada’s Brookfield Asset Management are also being lined up to buy into Sizewell as new equity investors, with the government effectively guaranteeing shareholders a return on their money. The total cost of Sizewell is estimated to be £40bn.

Sizewell C will see the construction of two nuclear reactors of European EPR technology and will aim to replicate the two EPRs of Hinkley Point C. It is expected to be brought online at some point in the mid-2030s and meet around 7% of the UK’s electricity needs. The replication of Hinkley Point C reactors should help to speed up the construction process and allow teams from one project to move over to the other once Hinkley has been completed.

While formal construction works began in January 2024, the final investment decision was only made last month, amid Labour’s plans to decarbonise the UK energy grid as soon as possible.

Despite the UK’s strong nuclear legacy – opening the world’s first commercial nuclear power station in the 1950s – no new facilities have opened in the UK since 1995, with all of the existing fleet except Sizewell B likely to be phased out by the early 2030s.

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