Cars: Manufacturing Industries

Department for Business, Energy and Industrial Strategy written question – answered on 23rd January 2019.

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Photo of Lord Mendelsohn Lord Mendelsohn Labour

To ask Her Majesty's Government, further to the Written Answer by Lord Bates on 26 November 2018 (HL11401), what plans they have to address the weakness in the domestic car industry cited by the ONS as contributing towards three consecutive quarter-on-quarter falls in UK business investment for the first time since the downturn of 2007–08.

Photo of Lord Henley Lord Henley Parliamentary Under-Secretary (Department for Business, Energy and Industrial Strategy)

The automotive sector is undergoing a strategic transition to electric and connected and autonomous vehicles. Our automotive Sector Deal announced last year will ensure that the UK continues to be one of the most competitive locations in the world for automotive manufacturing. This includes a commitment of £246m to develop and scale-up world leading battery technology for electrified vehicles and a commitment of £1bn over 10 years to the Advanced Propulsion Centre to research and develop the next generation of low carbon technology to keep the sector at the cutting edge of innovation. Since it was announced in July 2013, APC has awarded 44 collaborative R&D projects worth £770 million backed with £368 million from Government. We are also committed to investing over £250 million in public funding up to 2021/22, matched by industry, into R&D and testing infrastructure to accelerate the development of connected and autonomous vehicle technologies and anchor them in the UK.

The Government is determined to ensure that the UK continues to be one of the most competitive locations in the world for automotive and other advanced manufacturing. The 2018 Budget further announced £78m million funding announced to support innovation in electric motor technology.

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