Press Releases

UK Nuclear Industry Study – steps required to avoid Brexit Euratom cliff edge

03 May 2017

The Government needs to work closely with industry in order to bring about replacement arrangements for Euratom in a timely manner to avoid a cliff edge for the nuclear industry, is the main message from a new position paper, Exiting Euratom, published today by the UK Nuclear Industry Association (NIA).

The paper, prepared by the NIA following detailed consultation and discussion with its members, sets out the priority areas for negotiations with the European Commission as the UK ceases to be a full member of the Euratom community alongside the process to leave the EU. The paper also sets out the steps the UK Government need to take to avoid serious disruption to normal nuclear business in the UK and across the European Union.

The key steps for government include:

  • Agreeing a replacement Voluntary Offer Agreement with the IAEA for a new UK safeguards regime
  • Replacing the Nuclear Co-operation Agreements (NCA) with key nuclear markets; the Euratom Community, United States, Canada, Australia, Kazakhstan and South Korea
  • Clarifying the validation of the UK’s current bilateral Nuclear Co-operation Agreements with Japan and other nuclear states
  • Setting out the process for the movement of nuclear material, goods, people and services
  • Agreeing a new funding arrangement for the UK’s involvement in Fusion 4 Energy and wider European Union nuclear R&D programme
  • Maintaining confidence in the industry and securing crucial investment

Addressing these priority areas will enable the nuclear sector to continue its work with other countries, both within and outside the continuing EU, as the UK ceases to be a member of the European Union.

However, given the amount to be concluded within the next 22 months, there is a risk that new arrangements will not be in place. The NIA is urging the Government to begin these negotiations by seeking an agreement with the EU that existing arrangements will continue to apply until the process of agreeing new arrangements is concluded, and avoiding the cliff edge scenario that is not in the interests of the industry, consumers, the UK or the EU.

Tom Greatrex, Chief Executive of the Nuclear Industry Association, said:

“The UK civil nuclear industry is ready and willing to work with the Government as it begins the process of putting replacement arrangements for Euratom in place. The clock is ticking, and this is a priority of increasing urgency.

“This new report demonstrates that without new arrangements in place by the time the UK leaves the Euratom community, there is scope for real and considerable disruption. The industry has not only set out the priority areas to be addressed, but also the steps we think the Government needs to take to address those issues.

“Government Ministers have stated their desire to both work with industry and to ensure the same high standards will continue to apply as the UK leaves the EU – there is no disagreement on that principle.

“The Government now need to get down to the work of putting such arrangements in place, including a prudent approach to ensuring there are transitional arrangements in place, to avoid a gap in regulation. That would not be in the interests of the EU, the UK or the industry globally.”

The NIA has called for a joint industry and Government working group to be created to help develop a plan to preserve the essential benefits of Euratom membership. This was also a key recommendation by the House of Lords Science and Technology Committee in its report published earlier this week.

ENDS

Notes to editors

  1. The Nuclear Industry Association (NIA) is the trade association and representative voice of Britain’s civil nuclear industry. It represents more than 260 companies including nuclear power station operators, new build developers and vendors, those engaged in decommissioning, waste management, all aspects of the nuclear fuel cycle, supply chain and consultancy companies. Find out more at www.niauk.org.uk or @niauk.
  2. The nuclear industry generates a fifth of all electricity used in the UK, directly employs around 65,000 professionals and has the support of 71% of the public who believe nuclear must be part of a low carbon energy mix. The power generated by existing power stations avoids the emissions of 49 million tonnes of CO₂ a year – the equivalent of taking 78% of Britain’s cars off the roads. Take a look at the Jobs Map.
  3. You can access the full report Exiting Euratom visit the NIA website: https://www.niauk.org/wp-content/uploads/2017/05/Exiting-Euratom_May17.pdf
  4. The House of Lords Science and Technology Committee report was published on 2 May 2017.

Media Contacts:

Sara Crane: 020 7766 6646 / 07803 696 786 sara.crane@niauk.org

Rupert Lewis: 020 7766 6642 / 07894 595 717 rupert.lewis@niauk.org