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£33m Government funding for low-carbon vehicle technology projects

Department for Business, Energy and Industrial Strategy

Thirty two companies across the UK developing low carbon vehicle technologies are set to benefit from £33 million government investment.

The Advanced Propulsion Centre (APC) has awarded the funding – part of the government’s Industrial Strategy – to projects ranging from the development of high-performance battery packs and electrified construction equipment, to hydrogen-powered engines.

The funding will also help support the establishment of future supply chains.

Business Minister Andrew Stephenson said: “This new investment will enhance the UK’s leading position in the development of the next generation of electric and autonomous vehicles and clean growth.

“We are committed to building on those strengths to ensure we are a leader in the design and manufacture of automotive vehicles as part of our modern Industrial Strategy.

“These projects will build the capacity and capability of UK companies to manufacture low carbon technology and provide high skilled, well paid jobs across the country.”

Projects receiving funding are:

  • McLaren Group: Its ESCAPE project will create a complete end-to-end supply chain for a key component to be used in all electrified vehicles, whether automotive, railway, marine or aviation
  • Tata Motors European Technical Centre Limited: the ZETE project is an ultra-clean engine that reduces emissions in high pollutant sectors including heavy haulage, rail and shipping
  • Unipart Powertrain Applications Limited: the H1perChain project will strengthen the UK’s battery industry by providing a cost-effective route for UK-manufactured batteries into domestic and export markets
  • Caterpillar (U.K.) Limited: A joint project with AVID Technology to develop a fully electrified construction machine
  • YASA Limited: the EV-LIFT project aims to produce a best-in-class Electronic Drive Unit (EDU) for next generation battery electric vehicles (BEVs)

Ian Constance, chief executive of APC, added: “Supporting the development of cutting-edge low carbon vehicle technology is crucial to ensuring we have a robust supply chain that enables the future of the UK automotive industry.

“The wide range of projects awarded funding is proof that there isn’t one answer to reducing transport emissions.

“We must continue to collaborate across sectors in order to boost innovation in many aspects of the industry so we can take advantage of export opportunities to other markets.”

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