Toshiba withdraws from UK nuclear power plant

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nuclear power station
Image credit: NuGen

Toshiba has announced its withdrawal from the UK nuclear power plant construction project after failing to find a buyer

The firm’s NuGen subsidiary had plans to build a nuclear power station on the West Cumbria coast in northwest England.

The Toshiba statement released today (8th November) said: “After considering the additional costs entailed in continuing to operate NuGen, Toshiba recognises that the economically rational decision is to withdraw from the UK nuclear power plant construction project, and has resolved to take steps to wind-up NuGen.”

The statement continued to say: “Toshiba acquired 60% of the outstanding shares of NuGen, a UK based nuclear development company . Toshiba subsequently acquired the remaining 40% of NuGen’s shares from France’s Engie in July 2017, when Engie exercised its right to sell its entire shareholding to Toshiba.

Toshiba has said it will begin the winding-up process of NuGen in January and expects to see a drop in the value of its stocks.

This decision to step back from the construction project is expected to cause a knock on effect for the UK’s plans to build new nuclear power stations in the future.

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