Would You like a feature Interview?
All Interviews are 100% FREE of Charge
Jaguar Land Rover owners hope Rishi Sunak will stick to his plan to ban the sale of new petrol and diesel cars in the UK by 2030, instead of building a £4bn electric car battery plant in Somerset, the people said.
Details of the deal announced last week are confidential, but industry insiders said Tata Motors would only proceed with construction of its flagship plant based on its 2030 net-zero target.
The auto industry is asking the government to provide more clarity on the deadline after reports over the weekend suggesting the prime minister is reviewing policy.
But Standards Improvement Secretary Michael Gove insisted on Tuesday that the 2030 target is “steady.”
Tata Motors and Jaguar Land Rover did not respond to requests for comment.
“Factory and trade would have proceeded knowing there would be a ban in 2030,” said an industry insider.
Officials declined to comment but said Tata Motors would have been aware of existing policies, including proposed bans on new sales of petrol and diesel.
Tata’s approval last week of a plan to build a battery factory in Somerset was a big boost to the prime minister’s key pledge to revive the economy and the domestically struggling auto industry, announced on the eve of a crucial by-election.
The new plant is expected to create 4,000 jobs directly, and could create thousands more jobs in the supply chain if production starts in 2026, as expected.
Tata Motors plans to invest £4 billion in the site, with the UK government believed to be providing subsidies worth hundreds of millions of pounds.
During the announcement last week, the prime minister said: “Tata is an international company and we consider many factors when deciding where to invest.
“We are making a lot of changes and the whole package is attractive: investment in skills and apprenticeships, road, rail and broadband infrastructure.
“This is also the approach we are taking to post-Brexit regulation.”
On Monday, following reports that petrol and diesel targets were under review, the prime minister’s official spokesman said the 2030 ban “remains our commitment”.