Jonathan Reynolds comments on warnings from Stellantis over the future of UK vehicle manufacturing

Jonathan Reynolds MP, Shadow Business Secretary, commenting on warnings over the future of the UK vehicle manufacturing industry from Vauxhall car-maker Stellantis, said:

“Labour has been warning that the jewel in the crown of British manufacturing is at risk without urgent action from the government. These are issues that ministers should have seen coming and been proactive in addressing - instead we have a government in chaos.

“This is an indictment of a government that has both failed to make Brexit work for businesses and is unable to harness the opportunities of the green transition.

“Labour’s Industrial Strategy will work with industry to build the gigafactories we need to keep jobs in the UK rather than ship our world class car industry overseas. It’s clear British workers and industry will only get the certainty and backing they need from a Labour government with a plan for our automotive industry.”

Ends

Notes:

• Labour’s plans to part finance eight gigafactories could create 80,000 jobs: https://www.standard.co.uk/business/business-news/labour-s-industrial-plans-could-create-80-000-jobs-in-car-industry-party-says-b1080935.html

• Gigafactories will double jobs and boost growth by £30bn.

• The Faraday Battery Institute estimates that each GWh produced by a gigafactory supports 500 jobs both directly and in the supply chain. Based on the average 10 GWh gigafactory, Labour's plans would therefore support around 80,000 jobs.  

• Analysis by the Faraday Institute also finds that on current plans, gigafactory capacity in Germany, France and Hungary will be 300 GWh, 40 GWh and 60 GWh higher than the UK by 2030. Based on the above analysis of average jobs supported, this
• means there will be 300k, 40k and 60k more jobs in battery manufacturing and the supply chain.

• UK Electric Vehicle and Battery Production Potential to 2040 (faraday.ac.uk)

Jobs by region:

Source: Business Register and Employment Survey, employment in manufacture of motor vehicles (accessed via nomis)