Faraday Institution publishes 2024 update to its study – UK Electric Vehicle and Battery Production Potential to 2040
Recent announcements showcase the UK as an attractive location for battery manufacturing, but redoubling of efforts are needed to keep pace with investments across Europe.
HARWELL, UK (17 September 2024) – In an update to its 2022 study, the Faraday Institution predicts that by 2030, the UK will need the equivalent of six gigafactories (large, high volume battery manufacturing facilities) each producing 20 GWh per year of batteries. By 2040, the demand is expected to rise to the equivalent of 10 such gigafactories. This demand could be met by fewer, larger gigafactories reaching the same total capacity.
Recent gigafactory announcements in the UK by AESC and Tata Group have built excitement about the potential to create a new, dynamic and highly skilled battery industry in the UK. The report finds that 270,000 UK jobs could be supported by the EV and battery industry to 2040.
These announcements showcase the UK as an attractive location for battery manufacturing companies to build their European plants. The UK is making progress but not moving fast enough compared to its European competitors. UK battery manufacturing plants announced or under construction are expected to reach a combined capacity of 57.6 GWh by 2030, equivalent to around 4% of total European GWh capacity, behind Germany (21%), and six other countries.
More needs to be done.
At present, 47% of the projected demand for UK batteries to 2030 remains unaddressed by existing gigafactory development plans. Furthermore, 71% of the demand projected to 2040 has yet to be met.
Read the report – UK Electric Vehicle and Battery Production Potential to 2040.
The Faraday Institution is the UK’s independent institute for electrochemical energy storage research, skills development, market analysis, and early-stage commercialisation and is a partner of the ZERO Institute