Transport

UK Vauxhall factory to receive £100m investment to produce EVs

Move secures future of of Ellesmere Port factory in northwest of country

European carmaker Stellantis, with financial support from the UK government, will keep its Vauxhall plant in northern England to make electric vehicles. Photograph: Paul Ellis/AFP via Getty Images

Tue Jul 6 2021 - 12:52

The Vauxhall car factory in northwest England will get a £100-million (€116.95 million) investment to produce electric vehicles, owner Stellantis said on Tuesday, the second positive news for British vehicle manufacturing in recent days.

Nissan pledged last week to invest further in the country with plans for a new giant battery plant, as companies seek to electrify their line-ups ahead of tougher emissions rules and looming bans on diesel and petrol cars.

The future of Vauxhall's Ellesmere Port factory had been uncertain since its owner said in 2019 that it wanted to make the new Astra car there, but it would depend on the outcome of Brexit, which was settled only in December 2020.

Stellantis said earlier this year it wanted a commitment from the authorities in order to make fresh investment and on Tuesday said it had been “supported by the UK government”.

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From later in 2022, the site will produce the Vauxhall/Opel Combo-e, Peugeot e-Partner and Citroen e-Berlingo vans and their passenger car variants, making the location Stellantis' first site dedicated to battery electric vehicles for the brands.

"Today's decision will not only power Ellesmere Port into a clean future, but will secure thousands of jobs across the region in the supply chain," said business minister Kwasi Kwarteng. – Reuters

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