EDF UK profit hit by nuclear closures

But 'excellent performance' from low carbon energy helps boost group earnings

French-owned gas and electricity supplier EDF Energy has reported a 25% fall in annual UK profits to £649 million following unplanned closures at two of its nuclear power stations.

EDF shut down its Heysham 1 station in Morecambe and its Hartlepool unit in August for boiler inspections for several months after finding an earlier defect. Its eight nuclear generating stations produced almost 7% less power compared with 12 months ago.

EDF said operating profit in the UK was 25% lower at £649 million, which reflected challenging market conditions, the nuclear power outages, and a one-off £136 million charge relating to the reduction in value of gas generating and storage assets.

Results for the EDF group - which also generates power in France, Italy and other European countries - showed annual earnings up 6.5% to €17.3 billion (£12.9 billion) citing an excellent performance from low carbon energy.

The company also said it will make an investment decision in the next few months on its £16 billion project to build a new nuclear station at Hinkley Point C in Somerset.

EDF said it was in discussions with the government, the European Commission and its Chinese business partners.

EDF Energy announced this year that it had extended the expected life of Dungeness B nuclear power station in Kent by 10 years to 2028. It has invested £3.7 billion in the UK over the past three years.