The funding will support the UK fusion energy sector from 2025 to 2026 focusing on investing in skills needed for scientists, engieers and programme managers.
Industry leaders have been shortlisted by UK Industrial Fusion Solutions (UKIFS) - a new UK body that will help construct the UKs first prototype fusion energy plant in Nottinghamshire.
The prototype is set to be delivered by 2040 and is based at a former coal site - creating new jobs for former skilled coal communities.
Energy Secretary Ed Miliband said: After scientists first theorised over 70 years ago that it could be possible, we are now within grasping distance of unlocking the power of the sun and providing families with secure, clean, unlimited energy."
He continues: "Britain is at the forefront of this global race to deliver fusion, and today’s record level of funding will provide investment and economic growth through our Plan for Change, delivering on net zero and creating the clean energy of the future."
The news comes shortly after the government proposed plans for the first UK AI Growth Zone to be at UKAEA's fusion energy campus at Culham, Oxfordshire. The plan will see AI being leveraged for computing power in fusion research.
