A deal for a new UK factory making EV batteries at Bridgewater in Somerset will be announced by Indian conglomerate Tata and the UK Government within days, according to reports.
The company, which also owns Jaguar Land Rover, is said to have picked the West Country site in spite of stiff competition from elsewhere in Europe, including Spain. ‘Insiders’ close to the deal are claiming the factory will employ up to 9,000 people, and provide batteries for new EV models for JLR brands, as well as potentially for other car makers.
If the announcement materialises as predicted, it will be a big win for the Government although the deal is thought to include extensive subsidies that could amount to £500m. The factory itself is reported to have a target production capacity of 40GWh of batteries, which is enough to power hundreds of thousands of electric vehicles.
Discussion with Tata around plans for its new gigafactory have been ongoing for months, and such a deal will be a big boost for the UK car industry following the fall-out from Brexit and the more recent failure of gigafactory startup Britishvolt. The Somerset location chosen for the new plant puts it in easy reach of JLR’s Midlands car factories, as well as close to the port of Avonmouth.
Neither the government or Tata have released any statement in spite of media reports, but Tata company chairman Natarajan Chandrasekaran has reportedly arrived in the UK, adding to speculation that a meeting with Prime Minister Rishi Sunak and a public announcement is likely within days.
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