Power bills may rise to fund reactors

Households could face higher electricity bills to help pay for the next generation of nuclear reactors, the Guardian reported on Monday.

The government believes a "carbon levy" on electricity from coal and gas fired power stations may be necessary to make nuclear energy more competitive and encourage investment in the industry, the paper said.

According to energy consultancy firm EIC, the levy would add 44 pounds to the average household's 500 pound annual electricity bill, the paper said.

However, a spokeswoman for the Department of Energy and Climate Change told Reuters: "There are no current plans of that sort."