Business Secretary Greg Clark told parliament that Hitachi and the government have decided to enter into negotiations over the Wylfa Newydd plant on the island of Anglesey.

"This is an important next step in the project, although no decision has been yet taken to proceed," he said.

He noted that Britain's spending watchdog and MPs had recommended changes to the way the controversial Hinkley Point nuclear project was financed, after warnings that much of the cost will fall on consumers.

"For this project the government will be considering direct investment alongside Hitachi and the Japanese government agencies and other parties," he told MPs.

Hinkley, a pound19.6-billion (22.3-billion-euro, $26.1 billion) project in southwest England between French energy giant EDF and China General Nuclear Power Corporation (CGN), is under construction but not expected to be completed until the mid 2020s.

pn-ar/ecl

EDF - ELECTRICITE DE FRANCE

HITACHI

CGN Power