The UK’s first full-sized autonomous busThe UK’s first full-sized autonomous bus


Connected technology in vehicles could bring £66bn boost to UK economy by 2040

  • A study by KPMG found the UK could benefit from £66bn with the rollout of CAM technology
  • 342,000 additional jobs could be created across different sectors
  • 12,250 of those jobs would be in automotive manufacturing
  • The SMMT is calling on government to work with industry to introduce this technology

Time 2:54 pm, November 1, 2023

New research has revealed the UK could benefit from an annual economic uplift of £66bn by 2040 if connected and automated mobility (CAM) technology is adopted.

The study by the Society of Motor Manufacturers and Traders (SMMT) found that adopting this in a range of commercial applications, from self-driving cars, to logistics vehicles and automated buses or taxis, could increase economic prospects.

It has warned that if the government doesn’t work with industry to implement its rollout, the UK risks being left behind.

CAM technology allows vehicles to drive without needing human intervention by connecting with other vehicles or infrastructure nearby.

The SMMT’s research has found that by boosting rollout of this would create 342,000 additional jobs around the UK, with 12,250 of those in automotive manufacturing.

It also stated that by using CAM technology, 3,900 lives could be saved during the same period and 60,000 serious accidents prevented.

Since 2015, £600m has been committed to CAM testing and the SMMT says now government and industry must work to create safe conditions to begin rolling it out ‘across passenger cars, services, commercial and industrial vehicles’.

The report summarises a study by KPMG and funded by Innovate UK, with support from the Automotive Council and Zenzic. It reveals that on-road logistics has the potential to be the largest, with annual revenue of £15.2bn by 2040 from rolling out CAM tech in the sector.

By comparison, rolling out CAM tech in passenger services, such as buses, taxis and ride-hailing, has a possible annual revenue of £3.7bn, and off-road logistics, including vehicles used in warehouses, ports and airports, could be worth £2.3 billion per year by 2040.

Mike Hawes, SMMT chief executive, said: ‘While fully automated road journeys are still some way off, advances in connected and automated mobility technology means they’re within our future – presenting a significant opportunity to revolutionise transport in the UK.

‘Government must work with all stakeholders to implement the necessary framework needed to deliver this exciting revolution swiftly and effectively, ensuring that consumers can reap the lifesaving and cost saving benefits.

‘Failing to do so risks leaving the UK in the slow lane, jeopardising our competitiveness and impeding growth and job creation.’

Adrian Hallmark, Automotive Council UK joint chair and Bentley Motors Ltd CEO, added: ‘Whether moving people or goods via highly automated cars, buses, trucks, construction machinery or material handling equipment, the deployment of CAM represents a once in a generation economic, societal and environmental opportunity for the UK.

‘It has the potential to boost the whole transport sector, creating new supply chains, manufacturing and deployment opportunities. It could also help transform road safety, enable accessible transport, and deliver reduced energy consumption for environmental benefit through smoother, more efficient driving.

‘The automotive sector is ready to build this exciting transport future and to deliver tangible benefits for the UK. The Automotive Council welcomes this latest report and looks forward to agreeing the interventions required to leverage the opportunities presented.’

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Rebecca Chaplin's avatar

Rebecca has been a motoring and business journalist since 2014, previously writing and presenting for titles such as the Press Association, Auto Express and Car Buyer. She has worked in many roles for Car Dealer Magazine’s publisher Blackball Media including head of editorial.

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