12:22 pm, June 27, 2023
The UK automotive industry is urging political parties to adopt five pledges in the transition to electrification.
The SMMT wants them to ‘supercharge’ the industry’s competitiveness as part of a dedicated industrial strategy.
The trade body says political parties need to ‘recognise the strategic importance of the segment to the UK’, with a claimed £106bn prize up for grabs between now and 2030.
It hopes the pledges would lead to a tenfold increase in the production of EVs in the UK by then, although the figure is based on manufacturers committing to making their next-generation products in Britain.
There’s ongoing uncertainty over whether current carmakers will continue to build their EVs in the UK.
The SMMT says the UK faces ‘fierce global competition’ as other countries offer big cash incentives to attract firms to produce their EVs.
Stellantis operates two sites in the UK – one in Ellesmere Port and another in Luton – and warned last month that post-Brexit trading agreements risk it moving production.
The SMMT’s five pledges are as follows:
- A Green Automotive Transformation Strategy for a stronger economy
- Net zero mobility for everyone
- Green skills for a greener future
- Made in Britain – Made for the world
- Powering the UK clean tech revolution
Speaking today at the SMMT’s annual summit, chief executive Mike Hawes said: ‘The government has set the industry tough targets and we are committed to meeting them.
‘But we are in the middle of the most fiercely competitive investment landscape of a generation and need a UK response, urgently, using every policy, every fiscal and regulatory lever, to make Britain the most attractive place to invest.
‘The automotive industry rises to every challenge, so we set out today a challenge to all political parties: back us with the right conditions and we will turn our obligations into opportunities for our industry, for jobs, for the environment and for the UK.’
At today’s conference, Labour was due to set out various measures it says it’ll bring in to ‘turbocharge’ EV production.
Shadow transport secretary Louise Haigh will tell the event: ‘Labour are urging the government to prioritise an agreement with the European Union to ensure manufacturers have time to prepare to meet rules of origin requirements and make Brexit work for them.
‘But let’s be clear: it’s the government’s own failures that have made securing a deal necessary. They have had years and years to ramp up the UK’s battery capacity and have failed.
‘And while the Conservatives stand back, Labour in government will turbocharge the transition to electric vehicles and create the conditions for our proud car industry to not just survive the enormous upheaval of the decade ahead, but thrive.’
