Jeremy Hunt has unveiled a huge funding boost to support the development of zero emission vehicles in the UK during the Budget.
Speaking at the Autumn Statement this afternoon, the Chancellor announced a number of massive tax cuts and pledges of investment.
He said there would be investments into “strategic manufacturing sectors” including £2billion for zero emission investments in the automotive sector.
Mr Hunt added that the decision had been “warmly welcomed” by Nissan and Toyota, with the funding going towards zero emission vehicles, their batteries and supply chains.
WATCH NOW: Labour's Steve Reed reacts to electric car changes
Nissan’s Sunderland plant and Toyota’s Burnaston factory both support the transition to electric vehicles, with the new funding set to accelerate development.
Speaking in the House of Commons, the Chancellor said: “International investors say the biggest thing that we could do is to announce a longer-term strategy for their industries.
“So, with the Secretaries of State for Business and Trade and Energy Security and Net Zero, I am today publishing those plans.
“I confirm that we’ll make available £4.5billion of support over the five years to 2030 to attract investment into strategic manufacturing sectors.
“That includes support of £2billion for zero emission investments in the automotive sector, something that’s been warmly welcomed by Nissan and Toyota.”
Following the announcements made in the Autumn Statement today, Edmund King, AA president, said it was a positive move to support the zero emission vehicle industry.
He added: “To help smooth the electrification journey, The AA welcomes plans to speed up access to the Grid, investment in zero emissions within the automotive industry and funding to attract new engineers into the sector.
“We would still like to see incentives for drivers to help them to take part in the zero emission transition when they are ready to do so.
"Hopefully these incentives, a further freeze in fuel duty, and a cut in Insurance Premium Tax will be outlined in the Spring Budget.”
The Chancellor also announced plans to remove barriers to investment in critical infrastructure.
This aims to reform the UK's inefficient planning system and speed up electricity grid connection times, which could be a huge boost to the number of electric car chargers being installed.
The Chancellor added: "The government will look to remove unnecessary planning constraints by accelerating the expansion of electric vehicle (EV) charging infrastructure and will consult on amending the National Planning Policy Framework to ensure the planning system prioritises the rollout of EV chargepoints, including EV charging hubs."
There are more than 51,000 electric vehicle charging points across the UK, with expectations to reach 100,000 chargers by August 2025.
The Chancellor also announced further funding with £975million invested into aerospace and £520million for life sciences.
Nissan's UK factory received a massive investment of £1billion in 2021
PA
Almost £1billion has been pledged for the new Green Industries Growth Accelerator which focuses on offshore wind, electricity networks and hydrogen.
