China Fires Warning At UK Over Hinkley Deal

The ambassador signals the countries' relationship is under threat and urges a final decision "as soon as possible".
 

		China has ratcheted up the pressure on the Government over the Hinkley nuclear deal, warning its relationship with the UK is at a "crucial historical juncture". The Chinese ambassador to Britain said he hoped the UK would "keep its door open" to China - a clear caution that future investment in infrastructure projects could be under threat. Liu Xiaoming urged the Prime Minister to come to a decision on the £18bn Hinkley power plant project "as soon as possible".
		Theresa May unexpectedly halted the final decision on the project last month for a review of the deal, triggering anger from China. While the power station will be built by French firm EDF, it will be financed in part by Chinese money.
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Source: American Enterprise Institute and The Heritage Foundation

Writing in the Financial Times, the ambassador said: "Right now, the China-UK relationship is at a crucial historical juncture.
"I hope the UK will keep its door open to China and that the British government will continue to support Hinkley Point - and come to a decision as soon as possible so that the project can proceed smoothly."
He added: "As long as both sides cherish what has been achieved and continue to expand and deepen our co-operation across the board, bilateral relations will maintain their strong momentum and work for the well-being of both the Chinese and British people."
:: What Does China Own?
He also pointed out that because of the relationship, Chinese investment in the UK had been greater in the last five years than in France, Germany and Italy combined.
 
A Government spokesperson said: "As we've already made clear - this decision is about a huge infrastructure project and it's right that the new Government carefully considers it.

"We co-operate with China on a broad range of areas from the global economy to international issues and we will continue to seek a strong relationship with China.
"The message that we continue to take to the world is that Britain remains open for business and we are the same outward-looking, globally minded country we have always been."
China's official state news agency Xinhua has already warned the UK against a "suspicious approach" to Chinese financing of Government projects, saying it could deter future investment.
Mrs May's decision to halt the Hinkley go-ahead suggests a different approach to Chinese investment than David Cameron and George Osborne, who aggressively courted China.
:: Is May Right To Back Away From China?
A three-day state visit by Chinese President Xi Jinping in October 2015 "heralded a golden era" for the relationship between the two countries - and £40bn of investment.
It came amid concerns from intelligence agencies that Chinese investment in nuclear projects could be a danger to national security.
These were echoed in a blog written at the time by Nick Timothy, Mrs May's chief of staff.