Financial Times FT.com

Blair to rule out nuclear power plant incentives

By Christopher Adams, Political Correspondent

Published: June 11 2006 22:12 | Last updated: June 11 2006 22:12

Tony Blair is to rule out financial incentives to rig the market in favour of new nuclear power plants and will make a commercial case for them when he unveils government energy strategy.

The prime minister, who is due to announce the findings of a review in July, plans to tackle head-on cabinet sceptics and Labour party critics who said the cost of replacing Britain’s ageing nuclear capacity will be unaffordable and require huge subsidies.

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