Billions to be spent on 'giga-factory' in Somerset as plans confirmed

Plans for a new factory for electric car batteries have been confirmed

Author: Alan Jones, PA Industrial CorrespondentPublished 19th Jul 2023
Last updated 19th Jul 2023

Car giant Jaguar Land Rover has confirmed plans to build a new electric battery 'giga-factory' in the UK.

The Tata Group has announced this morning they'll be investing over £4 billion in the scheme to deliver electric mobility and renewable storage solutions for people in the UK and Europe.

It's thought thousands of new jobs will be created by the expected development in Somerset.

N Chandrasekaran, Chairman, Tata Sons, said: “The Tata Group is deeply committed to a sustainable future across all of our business.

“Today, I am delighted to announce the Tata Group will be setting up one of Europe's largest battery cell manufacturing facilities in the UK. Our multi-billion-pound investment will bring state-of-the-art technology to the country, helping to power the automotive sector’s transition to electric mobility, anchored by our own business, JLR.

“With this strategic investment, the Tata Group further strengthens its commitment to the UK, alongside our many companies operating here across technology, consumer, hospitality, steel, chemicals, and automotive."

All quiet at the site in Somerset this morning

Commenting about the announcement of the UK gigafactory, UK Prime Minister, Rishi Sunak said:

“Tata Group’s decision to build their new gigafactory here in the UK – their first outside of India – is a huge vote of confidence in Britain. This will be one of the largest ever investments in the UK automotive sector.

“It will not only create thousands of skilled jobs for Britons around the country, but it will also strengthen our lead in the global transition to electric vehicles, helping to grow our economy in clean industries of the future.”

Jonathan Reynolds, shadow business secretary, said: "Labour welcomes any investment in British jobs and industry and decisions like these vindicate Labour's advocacy of an industrial strategy in place of scattergun announcements.

"In spite of the Government's cack-handed approach to industry and our economy this shows the strength of the UK automotive industry.

"Labour has been clear the public and private sector working together is the only way we can transition industry to keep the jobs of the future on our shores for decades to come.

"That's why a Labour Government will go further with a proper industrial strategy, investing in eight gigafactories and delivering clean energy by 2030.

"Our plans for the car industry will deliver 80,000 additional jobs and billions in economic growth ensuring announcements like this aren't a one-off but the basis for a growing economy with good jobs in our industrial heartlands."

Where will it be?

Reports have indicated that the gigafactory will be located at the Gravity business park, a 616-acre site currently under construction near the M5 motorway near Bridgwater.

It is not yet known how much money the Government offered Tata to secure the new factory.

Quentin Willson, founder of campaign group FairCharge, said: "While this is a very significant development for UK battery manufacturing, I truly hope that other companies in the battery, critical minerals, charging and EV supply chains won't be neglected.

"The Government should see this subsidy as the beginning of building a battery ecosystem in this country.

"There is a genuine fear in the industry that it could sweep up all available government support, which would be hugely detrimental to the future health of the UK in the race to zero.

"We have some world class battery and EV talent and we must support them as much as we can to prevent this valuable resource of innovators moving to other more receptive markets."

Greenpeace UK's senior climate campaigner, Paul Morozzo, said: "This is a significant moment for the UK car industry and a signal that the Government has finally started the engine in the international clean technology race, while others are speeding ahead.

"But the Government must stick to its laudable commitment to phase out petrol and diesel vehicles from 2030, sign off on the regulations to deliver it, and ignore attempts by siren voices to derail the EV transition.

"Failing to do so would mean waving goodbye to any meaningful electric vehicle manufacturing sector in the UK, regardless of this new gigafactory, which would put domestic car manufacturing as a whole in jeopardy."

Hear all the latest news from across Edinburgh, the Lothians, Fife and Falkirk on Forth 1. Listen on FM, via the Rayo app, on DAB or on your smart speaker.