July 17th 2013

There is, at last, a generous agreement for community benefits that will be paid to compensate local people for the long term life of the new power plants.

It has taken a great deal of time to negotiate, and it will not mean instant money - not until Hinkley C is up and running- but at least the framework is now definite and in place.

• It could be worth up to £128m to the area around the proposed twin-reactor at Hinkley Point in Somerset.
• This builds on the Government’s business rates retention scheme introduced from April 1 this year. Under these changes, local government keeps 50% of the business rates it collects, together with the growth on that, for up to ten years. 
• Local authorities hosting new nuclear power stations will benefit for up to the first 10 years of operation from a share of the significant increase in business rates revenues that will arise.  To account for the scale and lifespan of nuclear power stations, local communities will receive further funding from central government for an additional 30 years.  100% of business rates received from land based renewables that come on stream after 1 April 2013 are retained by local authorities. 

Business and Energy Minister Michael Fallon said:

“New nuclear will have a central role to play in our energy strategy, providing heat and light to homes across the country.

 It is absolutely essential that we recognise the contributions of those communities that host major new energy projects".