Government announces £88m for ‘next generation’ zero emission vehicle tech

A fleet of 46 green vehicle technology projects, ranging from ultra-lightweight vehicles and zero emission buses to new battery technologies and electric trucks for Royal Mail and the NHS, are to share £88m in government funding.

Announced today by Minister for Industry and Decarbonisation Sarah Jones, the joint industry and government funding has been awarded through the Advanced Propulsion Centre (APC), with £44.5m of investment has been provided by government alongside a further £43.5m from the automotive sector.

The successful projects are split between five competitions and include eight collaborative R&D projects, seven Automotive Transformation Fund (ATF) feasibility studies focused on battery and motor technologies, and 11 projects aiming to rapidly develop new automotive products.

A further 14 micro-businesses, small businesses, and start-ups specialising in technologies which tackle transport decarbonisation and six schemes exploring zero tailpipe emission vehicle technologies within the niche vehicle sector have also been awarded funding.

A report from the Faraday Institution (FI) also published today predicts that by 2030, the UK will need battery production capacity of around 110GWh per annum – the equivalent of six gigafactories – to meet soaring demand, while the EV and battery industry could support 270,000 UK jobs by 2040.

“Labour is committed to boosting the jewel in the crown of our manufacturing base – the automotive industry,” said Jones. “Working in partnership with industry this fund will drive innovation and propel the development of next generation zero emission vehicle technologies. 

“From Royal Mail trucks delivering our post, to cleaner, greener bus journeys, this funding will back projects that will lower emissions across the country, while also supporting skilled jobs.”

A combined £60m in funding has been awarded through the APC Collaborative R&D (APC25) programme to a number of leading companies, including Jaguar Land Rover, Ford Motor Company, and Protean Electric. The funding is expected to create or safeguard over 3,500 green jobs and reduce carbon remissions across the manufacturing and automotive sectors. 

Moreover, 11 Advanced Route to Market Demonstrator (ARMD3) projects are to share £9.1m of government grant funding to rapidly develop automotive products with a clear route to market. Recipients include Triumph Motorcycles and Wrightbus, as well as efforts to create a novel “daisy chain” energy management system to enable firefighting using fully battery-electric fire engines.

Fourteen Technology Developer Accelerator Programme (TDAP) projects focused on improving battery supply chains, sheet metal pressing, and wireless charging solutions will also split £2.3m in government grant funding.

And seven projects are to receive government investment of £2.3m through the fifth round of Automotive Transformation Fund (ATF) Feasibility Studies, while the Niche Vehicle Network (NVN) has also awarded over £1m  in government grant funding to six UK firms.

Ian Constance, chief executive at the APC, extended congratulations to all the companies awarded funding through the latest round of agency’s competitions.

“From collaborative projects to further advance the UK’s excellence in automotive production, to fast-start demonstrators delivering cutting-edge technology in a short period of time, through to our award-winning SME programme, it’s important we continue to show that the automotive sector is vital to the country’s net zero goals and future economic growth, further evidencing that the UK is a highly investable opportunity,” he said.

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