Contractors rubbing their hands at Hinkley go-ahead

CONTRACTORS today hailed the UK’s “nuclear renaissance” as they revved their diggers for the start of construction at Hinkley Point C, following the final approval by Prime Minister Theresa May’s government.

Dozens of valuable contracts for companies like Kier Group, Costain, Laing O’Rourke, WS Atkins, Weir and Balfour Beatty hinged on construction of the plant. While controversial in political and security circles, May’s stamp of approval for the £18 billion project was welcomed by UK engineers.

“Today’s decision marks a major step in the UK’s nuclear renaissance and reflects the country’s commitment to a balanced energy strategy, including low carbon energy sources,” Kier chief executive Haydn Mursell said. The builder, which is doing preliminary works at Hinkley Point with BAM Nuttall, has about 350 staff already on site.

Laing O'Rourke's Paul Sheffield said the decision "gives us a real opportunity to showcase the best UK and European engineering design capability, technical expertise and project leadership".

The UK firm has a joint venture with French firm Bouygues for the main civil engineering works at Hinkley,

French giant EDF Energy will be the majority owner of the power station with a near-two thirds stake, although its shares remained flat in Paris despite the decision.

However, shares in Redhall Group shot up 36% after the announcement.

It has a joint venture with French firm ACPP and Baumert to make security doors for new nuclear power stations.

Costain, which has a contract with EDF Energy to make water coolers for Hinkley, also saw its shares increase by 1.5%, or 5p, to 334.75p as the green light was announced.