Plans for the first full-scale Gigaplant are powering ahead

Today, the government announced its support for electric-vehicle battery pioneer Britishvolt. An in principle offer of funding has been made through the Automotive Transformation Fund which has enabled a long-term partnership with Trixtax and abrdn that will deliver £1.7bn in private funding. 

Tritax and abrdn will fund the build of the project, shell and core, as well as develop the associated supplier park. Tritax is the leading investor in UK and European logistics real estate and is joining BV in partnership with abrdn’s global real assets and investment capabilities.

Once complete, the factory will produce enough batteries for over 300,000 electric vehicles each year, significantly supporting the UK automotive industry’s transition to a zero emissions future and increased production of electric vehicles.

The government’s support for the gigafactory will help to unlock a significant amount of further support from private investors. Alongside private sector investment, the project is set to create 3,000 direct highly-skilled jobs and another 5,000 indirect jobs in the wider supply chain.

Prime Minister Boris Johnson said: “Britishvolt’s plan to build a new gigafactory in Northumberland is a strong testament to the skilled workers of the North East and the UK’s place at the helm of the global green industrial revolution.

“Backed by government and private sector investment, this new battery factory will boost the production of electric vehicles in the UK, whilst levelling up opportunity and bringing thousands of new highly-skilled jobs to communities in our industrial heartlands.”

Peter Rolton, Britishvolt Executive Chairman said: “This announcement is a major step in putting the UK at the forefront of the global energy transition, unlocking huge private sector investment that will develop the technology and skills required for Britain to play its part in the next industrial revolution.

“The news is the first step in creating a commercialised battery ecosystem, that perfectly aligns with the existing R&D ecosystem. Britishvolt will be the anchor for attracting further sections of the supply chain, be it refining or recycling, to co-locate on the Britishvolt site. This not only shortens supply chains but also allows for partners to access the abundance of renewable energy on site to truly power low carbon, sustainable battery production.

“It will also allow us to catapult our unique tailormade business proposition on a global scale, with sites already selected for development in other countries. I’m especially proud that this is such a major boost for Northumberland – the county of my birth – bringing around 3,000 direct highly-skilled jobs and another 5,000+ indirect wider supply chain roles into the region.

“This is a truly historic day and marks the start of a truly exciting move towards a low carbon future. One with Britishvolt batteries at the very centre of that strategy.”

Kwasi Kwarteng Business Secretary said: “Today’s news is a major boost for Britain and a resounding vote of confidence in the North East economy.

“Britishvolt’s planned gigafactory will not only enable the UK to fully capture the benefits of a booming electric vehicle market, but will bring thousands of highly-skilled, well-paid jobs to the North East.

“In this global race between countries to secure vital battery production, this government is proud to make the investment necessary to ensure UK’s retains its place as one of the best locations in the world for auto manufacturing.”