MP tries to reassure public after Britishvolt enters emergency talks to keep gigaplant dream alive

The £3.8bn factory has been hailed as transformative for South East Northumberland, which suffers from high levels of deprivation and a lack of well-paid jobs, but the “negative global economic situation” and recent market turmoil has caused the project to stall.

It is hoped the project would create 3,000 direct and 5,000 indirect jobs. However, recent reports suggest the company is holding talks with a number of potential investors after possible supporters backed out.

Despite the issues, Blyth Valley MP Ian Levy remains confident the gigafactory will be built.

He said: “Many, many millions have already been invested. I am briefed that the management team are pursuing several opportunities that would give them the financial support they need to move the project into its next phases.

“I am in close and regular contact with the company, the government and the council and will continue to do all I can to bring these jobs to our area.”

Coun Alex Wallace, who represents Cambois on Northumberland County Council, said local people remained hopeful and reiterated the importance of the proposals to the area.

Calling for more government support, he said: “Considering the amount that has been spent on Covid and on energy support, why doesn’t the government, if they really want it to happen, step in?

“Two or three million for a few months isn’t a fortune to to create real wealth in the south east of Northumberland. It’s a small price to pay and it would send a very strong message.

“It’s not just important for Cambois, it is important for the North East and the United Kingdom. The Mini has moved production and if they’re not going to manufacture batteries here, who is going to build cars here?

“Everybody here is taking it quite philosophically. We’re reading the papers instead of Facebook. People are accepting what has been said.”

The Financial Times has reported that Jaguar Land Rover owner Tata Motors is among firms involved in talks which could include the sale of a minority stake or a full takeover, claiming Britishvolt faces collapse if it cannot secure fresh funds before Christmas.

However, the company declined to comment on the speculation.

Britishvolt spokesman Ben Kilbey said: “Company policy is to not comment on market speculation. The board of directors supports the company’s latest business plan, which has been refocused and sharpened given the negative global economic situation, and continues to have full confidence in the senior management team.

“We are actively working on several potential scenarios that offer the stability needed to enable us to carry on building a strong and viable British battery cell R&D and manufacturing business.

“It is important that Britishvolt is a success: not only for the circa 300 employees currently working for the company, but also for the many thousands of jobs that we intend to create at our gigaplant site and our R&D and scale-up facilities in the West Midlands, and for the future of the UK auto industry and the country’s target to become net carbon zero by 2050.