The great nuclear sell-out: Our only atomic power giant falls into foreign hands - and you'll pay the price

Britain's only nuclear power company is being bought by the French in a £12.5billion deal likely to trigger a huge rise in electricity bills.

By buying British Energy, EDF  -  which is 80 per cent owned by the French government  -  will take control of the UK's eight nuclear power plants and build at least four super-size reactors.

The deal gives EDF enormous power in setting future prices because it will supply some 30 per cent of the country's electricity.

The purchase of British Energy means yet another large UK company will fall into foreign hands.

Four of Britain's 'big six' energy suppliers are controlled by hugely wealthy and powerful overseas utility giants.

There have been suggestions that they are quick to impose price rises on British consumers while protecting those in their home countries.

EDF already has several million customers in Britain because it owns London Electricity, SWEB and Seeboard. Npower and Eon are owned by German companies, while Scottish Power is owned by Iberdrola of Spain.

The Daily Mail has learned that it will cost £15billion to connect the new generation of nuclear power stations to the National Grid.

This will involve building substations and replacing the cables running along pylon networks crossing some of the most beautiful parts of rural Britain.

The cost of these new connections and constructing the nuclear power plants will be passed on to UK families through higher bills. However, future profits from the purchase will go across the Channel to France.

The deal represents a new milestone in the foreign takeover of UK plc, which ranges from high street banks to shipping, water companies and premier league football clubs.

Consumer groups and MPs have expressed fears that foreign energy firms see Britain as a 'Treasure Island'.

Ed Mayo, chief executive of the Government's new Consumer Focus body, recently warned that foreign energy firms may be 'picking the pockets of consumers in this country'.

The £12.5billion deal will see the UK Government sell its 35 per cent stake in British Energy.

Man at the top: Pierre Gadonneix, whose company EDF is taking over British Energy

The notion of handing over control of nuclear power to a foreign government would be unthinkable in countries such as France and Germany.

The Tory business spokesman, Alan Duncan, said it is vital that the UK retains control over future energy strategy.

'What did the Government get in return for selling its 35 per cent stake?' he asked.

'Its shareholding was a powerful lever over nuclear policy and they've sold it to another country's nationalised industry. What did they demand in return?

'Have they received a cast-iron guarantee backed up by the French government that EDF will not now come to us to demand subsidies of any sort?

'Have they secured a French national guarantee that all decommissioning costs will be covered?

'Or have they just sold their stake, taken the cash and said, "Merci"?'

The purchase by EDF will include a role for Centrica, the UK parent company of British Gas. It is in talks to buy a 25 per cent stake in the new company and guaranteed access to power output.

EDF is the world's largest nuclear power utility, with 58 reactors in 19 sites, and is said to be worth an astonishing £73billion.

The official consumer body Energywatch is worried that the country's energy supplies are dominated by a small group of companies which are failing to compete to offer the best prices and service. As a result, millions, including many pensioners, will struggle to stay warm this winter.

Energywatch said: 'British Energy is a very significant independent generator. This purchase will concentrate more power in the hands of the big six energy companies.'

Demand for a new generation of nuclear power plants has grown amid a drive to ensure that the UK is less reliant on expensive gas and oil imports from unstable regions of the world.

Nuclear has also been heralded by the Prime Minister as key to reducing the nation's carbon emissions from 'dirty' power stations using fossil fuels.

Mr Brown said: 'This deal is good value for the taxpayer and a significant step towards the construction of a new generation of nuclear stations to power the country. Nuclear is clean, secure and affordable.'

But green campaigners say Britain should invest in renewable energy, such as wind farms and wave power.

Greenpeace said the deal would do nothing to promote British energy security or tackle climate change but would 'benefit the French taxpayer and create French jobs'.

The board of British Energy is supporting the takeover, however the final say will rest with shareholders.

EDF will continue operating British Energy's eight nuclear power stations  -  Torness, Hartlepool, Sizewell B, Dungeness B, Hinkley Point B, Heysham 1, Heysham 2, Hunterston B  -  and invest in four new reactors.

• Families are being overcharged £660million a year on their energy bills because their direct debit payments are too high, consumer group Which? claims.

It said half of gas customers and 40 per cent of electricity users who pay by direct debit were in credit following last winter.

One in five gas customers had overpaid by more than £100.

The figures suggest that suppliers are either deliberately requiring customers to overpay or are incompetent when it comes to assessing payments.