Life of Sizewell B extended by another 20 years

A nuclear power plant on the Suffolk coast will produce electricity for a further 20 years after a deal was reached between its owner EDF and the government.

Sizewell B, near Leiston, started operating in 1995 and was due to reach the end of its life in 2035, but will now continue operating until 2055. The plant is the country's only pressurised water reactor and provides energy to more than two million homes, producing three per cent of the UK's electricity.

The agreement enables about £800 million of plant investment by EDF, and will secure around 900 jobs at the site, including 620 staff and about 300 contractors.

Energy secretary Ed Miliband said nuclear power is vital for the UK's energy security, and the extension will help produce the clean power the country needs. The deal is structured as a contract for difference, with a guaranteed price of £70.50 per megawatt-hour – significantly lower than the previous contract.

Gilbert