Government criticised for ‘risky’ Hinkley deal

The Department for Business, Energy and Industrial Strategy (BEIS) has been strongly criticised by the National Audit Office over the commercial deal agreed for building the Hinkley Point C nuclear power station.

In a report released on 23 June, the NAO argues that the government has failed to assess the impact of its financial policies on consumers, who may be locked into costly energy prices as a result.

The structure of the Hinkley Point C deal, whereby the government has little flexibility in its negotiations with investors, means that electricity consumers and taxpayers could have to stump up to meet extra costs.