£1bn secured for electric car battery plant
Getty ImagesA £1bn investment has been secured for a new electric car battery plant, the government has said.
It is hoped the new gigafactory being built at the International Advanced Manufacturing Park (IAMP) in Washington, Sunderland will support 1,000 jobs and power 100,000 electric vehicles annually.
The news comes after the UK's economic deal with the US on Thursday, which saw car export tariffs slashed.
Visiting the site, Chancellor of the Exchequer Rachel Reeves said the move would "deliver much-needed high-quality, well-paid jobs to the North East".
Plans for the plant were approved last year and it will be the second in Sunderland for AESC UK, which is Nissan's battery partner.
The money will go towards the remainder of its construction and subsequent operation.
The government said the gigafactory would power up 100,000 electric vehicles (EVs) each year and would see the UK become more globally competitive in that field and help it achieve its net zero target.
Because of its size and being partially located on green belt land, the building's planning application was referred to the Secretary of State for a final decision before finally being green-lit in September 2024.
The Chancellor added: "This investment in Sunderland will not only further innovation and accelerate our move to more sustainable transport, but it will also deliver much-needed high quality, well-paid jobs to the North East, putting more money in people's pockets."
In addition to the £1bn investment, the government's Automotive Transformation Fund is also investing £150m in grant funding.