The Government's views on the development of nuclear energy are outlined. In this country, we continue to see some important advantages in maintaining nuclear power generation. It increases diversity, and so helps to maintain security of energy supply. It does not produce greenhouse gases or contribute to acid rain. But it is equally clear that nuclear costs must be brought under control whilst at the same time maintaining the high standards of safety and environmental protection which we have come to expect in the UK. The three main elements which the nuclear industry must address in the future are summarized. First the costs of nuclear generation must be reduced. Secondly, once the feasibility and costings of PWRs have been established consideration must be given to the choices for the future energy policy and thirdly new reactor designs should be standardized so the benefits of replication can be realised. (author).