Currently reading: Jaguar Land Rover receives £500m government loan guarantee for EV production
UK government demonstrates commitment to supporting mass electrification with new investment and proposed regulations
Felix Page Autocar writer
News
2 mins read
16 July 2019

Jaguar Land Rover has received a £500 million loan guarantee as part of a new government initiative to support UK car manufacturers’ electrification schemes. 

In a meeting of automotive industry leaders at 10 Downing Street, Theresa May announced that the guarantee would be provided by UK Export Finance. The nature of the investment means that if JLR were to default on repayments, the government would act as the company's guarantor. 

The loan guarantee will assist JLR in readying its Castle Bromwich production facility for the next-generation XJ saloon, which has now been confirmed as an all-electric rival to the Porsche Taycan and Tesla Model S, arriving next year. 

The outgoing prime minister also reaffirmed the UK government’s ongoing commitment to sustaining domestic manufacturing, stating that the significant investment will aid JLR, as the UK's biggest car manufacturer, in its shift to electric vehicle production. 

The move is the latest in a series of government-backed schemes to facilitate the roll-out of electric vehicles. Recent changes to the UK’s company car tax system have eradicated benefit-in-kind charges for EV drivers, and Number 10 has spoken out against the difficulties of accessing, and paying for, charging points in normal driving situations. 

Joining JLR at yesterday’s roundtable event were representatives from Aston Martin, BMW, Vauxhall and Nissan, alongside counterparts from energy companies Shell and BP. 

The bodies have come together to form a green mobility transition board, which will see them coordinate plans for the industry-wide switch to zero-emissions powertrains. The conglomerate’s first large-scale project will be the construction of a new ‘Gigafactory’ near Coventry for the production of EV batteries. 

The prime minister announced, additionally, that plans are in place to make mandatory the fitment of domestic EV charging points to all new homes in the coming years. 

The UK’s electric vehicle infrastructure is widely regarded as ill-prepared for the move away from conventionally fuelled powertrains, and the government is under pressure to support manufacturers and suppliers as they race to build and sell the next generation of vehicles. 

Read more

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lambo58 16 July 2019

Guaranteed loan of £500

Guaranteed loan of £500 million from the taxpayer- except its not a loan.

A loan is something you will hopefully pay back.

With this wretched shitbox of a company it will just be giving money to them for no other reason than misplaced patriotism.

If Tata, has so much faith in them, get them to pick up the bill

Ardenpops 16 July 2019

So let me guess lambo58, you

So let me guess lambo58, you applied for a job at JLR and they told you to fuck off because you are a twat.

Go and peddle your chip on your shoulder nonsense elsewhere.

 

scotty5 16 July 2019

Oops

my above comment meant to say " if you think taxpayers didn't aid their decision"

 

scotty5 16 July 2019

JLR haters or realists?

Question for those who say the government shouldn't get involved - Should they have got involved with Nissan or Toyota or Honda because if you think taxpayers did aid their decision to set up shop in the UK, you're very much mistaken.

Government needs to get involved to attract business, it's choosing which business to get involved with that's the trick. Remember Mr DeLorean's pipe dream? Bottom line is he was a conman and The Government fell for it hook, line and sinker.

Hopefully someone knows what they're doing this time around.

CharlieBrown 16 July 2019

scotty5 wrote:

scotty5 wrote:

Question for those who say the government shouldn't get involved - Should they have got involved with Nissan or Toyota or Honda because if you think taxpayers did aid their decision to set up shop in the UK, you're very much mistaken. Government needs to get involved to attract business, it's choosing which business to get involved with that's the trick. Remember Mr DeLorean's pipe dream? Bottom line is he was a conman and The Government fell for it hook, line and sinker. Hopefully someone knows what they're doing this time around.

No no no our government shouldn’t be assisting the funding of foreign owned businesses that have already taken EU money to offshore jobs to places like Slovakia and have also been hyper critical of previous government policy - anyway £500 million is chicken feed in the race to electric vehicles and it’s a very sad story that our largest automotive manufacturer cannot raise that piddling amount without a government loan guarantee 

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