UK announces £89m funding to advance electric vehicle technology

The UK Government is awarding £89m funding to 20 revolutionary projects to advance electric vehicle technology.

Awarded through the Advanced Propulsion Centre UK (APC), the funding will help optimise electric vehicle technology to new frontiers, pioneering hydrogen-powered vehicles, a lithium scale-up plant, and new battery systems for electric vehicles.

The funding, of which the UK Government provides £45.2m and £42.7m from the automotive industry, will support four collaborative R&D projects, five scale-up projects to determine if the sector is ready for growth, and seven feasibility studies to develop large-scale UK manufacturing facilities.

Commenting on the announcements, Nusrat Ghani, the UK Minister for Industry and Economic Security, said: “Together with industry, we’re providing a huge £89m of funding to drive 20 groundbreaking net zero tech projects which will help grow the economy and create UK jobs in the industries of the future.

“From net zero tractors to cutting-edge battery projects, we’re taking decisive action to back the UK’s innovators and ensure we remain at the forefront of zero emission vehicle technology.”

Accelerating electric vehicle technology development

£67m of the funding will support R&D projects aimed at accelerating the development of electric vehicle technology to create a robust UK supply chain, stimulate sector growth, and create lucrative jobs.

Projects selected for the funding include Aston Martin, who are creating a luxury battery electric vehicle platform and Perkins, who are developing a hydrogen-hybrid integrated power system for offroad vehicles.

These projects are expected to create or retain around 4,700 jobs and cut 65 million tonnes of CO2 over the next decade alone.

Additional funding opportunities

Twelve UK projects will also benefit from £11.3m funding via the second instalment of the SuRV (Scale-up Readiness Validation) competition and the fourth round of the APC’s Automotive Transformation Fund (ATF) feasibility studies competition.

SuRV projects will asses if UK businesses in the UK supply chain are ready for scale-up and expansion, with projects including Green Lithium’s planned lithium plant in Teesside and Ilika Technologies’ solid state battery technology endeavour.

The ATF Feasibility Studies aim to generate business cases that are primed for decision-making, paving the way for the creation of extensive manufacturing facilities in the UK.

Among the seven projects is Cornish Lithium, which is in the process of setting up a graphite processing plant in the UK to manufacture anode materials for electric vehicle batteries, and Aberdeen Minerals Limited, which focuses on researching novel mineral processing methods.

APC Chief Executive Ian Constance added: “This latest round of funding coincides with the APC’s 10th anniversary. We have seen over £1.4bn of investment into automotive projects since the APC was set up, and I am proud of the impact that we have made here in the UK.

“This latest announcement includes a diverse set of OEMs and suppliers that demonstrate the strength of UK automotive. They will further add to our portfolio of innovative projects and continue to drive the UK to deliver on its net zero ambition.”

NVN Production Readiness Competition winners revealed

The recipients of the Niche Vehicle Network (NVN) Production Readiness Competition awards were also announced today.

This competition, sponsored by the APC and backed by Innovate UK, offers grant funding to innovative UK SMEs that are at the forefront of sustainable and cutting-edge electric vehicle technology design.

A total of £1.1m in grant funding has been allocated to support four projects. Among these projects is the development of a zero-emission Ariel Nomad, a high-performance off-road vehicle with a highly optimised electric vehicle powertrain.

Additionally, funding has been awarded to Swifty Scooters for the creation of a UK-made electric scooter designed for superior rider safety and extended product longevity.

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