Jaguar Land Rover is set to spend £4bn on UK battery factory

Jaguar Land Rover is set to spend £4bn on UK battery factory

19 July 2023

Jaguar Land Rover owner, Tata has confirmed plans to build its flagship electric car battery in the UK. This new plant is described as the most important investment in UK automotive since Nissan arrived in the 1980s and is expected to create 4,000 UK jobs, with the factory based in Somerset as well as thousands more in the wider supply chain.

Tata has said it will invest £4bn in the site but it is understood that the government is providing subsidies worth hundreds of millions of pounds. This new gigafactory, at 40GWh, will be one of the largest in Europe and will make batteries for Jaguar Land Rover vehicles. The plan is to also supply other car manufacturers as well, with production at the new factory due to start in 2026.

Some industry insiders hope that the Tata battery investment will open the door to further battery investments in the UK. Currently, the UK only has one plant in operation next to Nissan’s Sunderland factory, and one barely on the drawing board in Northumberland. Another proposed battery manufacturer, in the northeast of England, went into administration earlier this year.