Industry leaders and unions have welcomed plans for a 3,000-job battery gigafactory now set to go ahead in the North East.
The Government is using tens of millions of pounds of public money to back the planned Britishvolt factory at Cambois, Northumberland, with that support helping the company secure the £1.7bn of private investment needed to make the plans a reality.
The site, on the former coal yards of the old Blyth Power Station, is expected to open in 2024, producing batteries for up to 300,000 electric vehicles a year when it hits full production.
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It will mean that the first two battery gigafactories in the country - which are seen as key to securing the future of the UK automotive industry, as well as helping the net zero agenda - are both in the North East. The first, the Envision AESC plant in Sunderland, is currently being expanded.
Matt Boyle, chair of the North East Automotive Alliance said: “This is yet more evidence that the North East is the electrification capital of the UK. Leading investors and the British government have shown confidence to invest in battery technology for the world.
“The investments from Envision, Nissan, Britishvolt and Turntide are turning the North East into a globally recognised manufacturing location for the future electrification of transport.”
Julian Hetherington, automotive transformation director at the Government’s Advanced Propulsion Centre, said: “This is a pivotal moment for the UK automotive sector as it demonstrates that the UK is a highly competitive landscape for investment in the full R&D and manufacturing ecosystem for these vital technologies. I’m delighted that this has been recognised by Britishvolt, with whom we have been working since late 2019, and who have had a transformative impact in awakening the battery supply chain sector to opportunities in the UK.
“We have a vibrant and diverse industry, and Britishvolt’s significant investment in R&D and manufacturing will help establish competitive supply chains and satisfy this burgeoning demand - and in doing so will create thousands of highly-skilled, green jobs, regenerating a site that was previously home to the UK’s largest coal-fired power station.
“This is true transformation, unlocked by the Government’s commitment to support green growth and levelling-up.”
Business Secretary Kwasi Kwarteng visited Northumberland this week to see the site where the gigafactory will be built, hailing it as “world beating technology”. Prime Minister Boris Johnson said that it would be “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.”
But unions have warned that the country will need more gigafactories to support the transition to electric vehicles.
Unite general secretary Sharon Graham said: “Unite has already signed an enabling agreement with Britishvolt for the factory, which is the best way to proceed with the project. However, six more battery plants, like Britishvolt, are needed if the UK is to retain a world class automotive sector that will spur the creation of thousands of decent jobs and help meet our climate obligations.”
