Cars: Manufacturing Industries
The question
To ask the Secretary of State for Business and Trade, what assessment he has made of (a) the adequacy of the level of UK car production and (b) the impact of that industry on the economy.
Answered by Sarah Jones
The UK’s automotive manufacturing industry directly supports over 150,000 jobs and contributed £21.0 billion in gross value added to the economy in 2024.
It plays a crucial role in driving innovation, advancing net-zero goals, and fostering economic growth. In value added terms, the UK has the second-largest car manufacturing industry in Europe. While production dipped last year due to planned upgrades and weaker global demand compared to 2023, the government remains confident in and committed to the sector. The Autumn Budget included a £2 billion commitment for the sector. Recently a £50 million investment deal was secured with JATCO and Nissan to establish a new manufacturing site in Sunderland, JATCO’s first site in Europe.
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