The report highlights the opportunity to invest in a sector which it suggests could benefit the UK economy by £24bn by 2025, but it also warns that there is a narrow window for the UK to secure a major share of the market and that significant barriers to investment must be overcome.
The global car industry is now in rapid transition because meeting global climate targets relies on phasing out internal combustion engine (ICE) vehicles. In the UK, where road transport accounts for around a quarter of national greenhouse gas emissions, the sale of new ICE vehicles will end from 2030 and the shift to EVs is a key priority in the government’s 'Ten Point Plan for a Green Industrial Revolution'. The value of the transition from ICE to EV powertrains could benefit the UK economy by upwards of £24bn by 2025, according to the government-funded Advanced Propulsion Centre (APC).
With the UK currently producing around 2GWh of battery capacity a year, it will...