Coventry receives £35M investment for gigafactory to power UK’s electric future

Coventry City Council has received a proposal for up to £35 million in support to establish a new gigafactory within the Coventry and Warwick Gigapark investment area.

This proposed West Midlands Gigafactory, one of four planned facilities in the zone, aims to become the UK’s epicentre for electrification, driving forward innovation in battery technology and production to foster a more sustainable future for the nation.

Should this financial support be sanctioned, the initial £23 million would be allocated for essential highways and infrastructure enhancements, laying the groundwork for the accommodation of a battery production entity and its related supply network.

In October of the previous year, city officials disclosed ongoing negotiations with several prominent Asian manufacturers, including the Tata Group. Despite this, the conglomerate has redirected its focus towards establishing a new £4 billion plant in Somerset.

However, securing a contractual agreement is expected to generate up to £2.5 billion in inward investment for Coventry, alongside the creation of approximately 6,000 direct high-skill positions and potentially thousands more jobs within the broader supply chain.

Cllr Jim O’Boyle, cabinet member for jobs, regeneration and climate change, said: “Coventry is the historical home of the automotive industry in the UK, where much of the cutting-edge technology that defined the global car industry last century was created here in our city.

“Now, as we stand at the dawn of a new electric age, we fully intend for Coventry to be very front of the green industrial revolution.

“The West Midlands Gigafactory site is the only site in the UK that sits within an investment zone, has planning permission for a large-scale battery manufacturing facility, and has confirmed customers interested from a number of global battery manufacturers. 

“This project has the potential to attract more investors to our city that will bring jobs and prosperity to our residents.”