Tens of billions in public cash will have to go into building new gigafacories to manufacture electric vehicle (EV) batteries.
That’s the claim of think tank Common Wealth, which claims that to futureproof the British car industry, investing heavily in batteries is the only option.
It estimates that the country will need to scale up its battery building capacity from 2GWh each year currently to 80GWh by 2030.
This will protect 90,000 jobs, create 33,000 new ones and ensure the UK has the correct infrastructure to uphold its decision of building no new petrol or diesel cars by the end of the decade, the report claims.
To stop the UK falling behind and prevent the EV revolution being ‘offshored’ to foreign countries, £100 billion needs to be invested within the next eight years – it warns.
Britain is loitering behind China and Germany, the think tank stresses – and needs significant government backing to remain a key player in the market.
Co-author Khem Rogaly said the country needs to “reverse the legacies of de-industrialisation in UK manufacturing sectors and help keep the wealth produced from battery production in the pockets of workers and the public.”
The UK can currently only boast one gigafactory in Sunderland that produces batteries for Nissan.
The report also states that although more are set to open in Coventry and Blyth, these alone won’t be enough to keep the current number employed.