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“Only Labour can save the UK car industry”

Andy Palmer, ex-Aston Martin and Nissan boss, is backing a Labour government to make a difference to the UK car industry

Opinion - Labour Party

When I began my career in the auto industry 45 years ago, Britain was riding high. We were the fourth largest global exporter of cars globally, surpassed only by the United States, Japan and Germany. 

In those days, automaking was part of our national psyche. Jaguar, Austin Rover, Rolls-Royce, and my old company, Aston Martin, were at the forefront of the global auto industry. Alongside fish and chips, Bobby Moore and The Rolling Stones, automaking was a pillar of Britain’s identity. 

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Today, our industry is a shadow of its former self. Britain is now 18th globally and produces less cars than Slovakia, Iran and Indonesia. Automotive production has been largely off-shored and competitors such as the US, EU and China are ploughing billions into their industries, while we are left behind. 

But it doesn’t have to be this way. The pivot to electric vehicles presents the UK with a huge opportunity, but it is an opportunity with only a narrow window in which we can take advantage. 

For too long, it has felt like the Conservative government has neglected our auto industry. MPs haven’t listened to industry voices as we have tried to shift them towards supporting a vital sector that supports upwards of 800,000 jobs. During the 14 years the Conservatives have been in power, we have seen our industry decline, while international competitors overtake us. 

Gigafactory investment

But the EV revolution gives us an opportunity to shift up a gear and make some ground. At the centre of this opportunity is battery manufacturing. As the former CEO of Aston Martin and COO of Nissan (responsible for bringing the Leaf to Sunderland), I know that it makes business sense for manufacturers to build cars where batteries are made. Batteries constitute around 40 per cent of an electric vehicle, so importing batteries from around the world simply doesn’t make sense. It doesn’t make sense for the environment – and it doesn’t make sense for the balance sheets of car manufacturers. 

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The UK has an opportunity to establish battery manufacturing at the heart of its economy, providing good wages, good jobs and a clear message to the auto industry that we are open for business.

Labour’s plans to part-finance additional gigafactories in the UK through a National Wealth Fund will be a welcome step in the right direction. For too long, the Conservatives have sat on their hands while rival governments show huge support to get battery-manufacturing projects off the ground. Labour’s plans to classify gigafactories as Nationally Significant Infrastructure Projects will also help to ensure that these projects don’t get stuck in the long-grass of bureaucratic planning processes. 

Once electric vehicles are being manufactured in this country, we then need to give motorists confidence that they will meet their needs. 

EV misinformation

This should start by addressing the misinformation that surrounds electric cars. We need to help consumers make informed decisions about the cars they are buying. A Labour government is planning to introduce a UK equivalent of what the US call a ‘Monroney Sticker’. This is a label on the car that provides accurate information on the carbon footprint of a vehicle’s production, as well as real-life range of the vehicle’s battery in different environments. This information is readily available, but often hard-to-find for consumers. Labour’s plans to help simplify the EV-buying process will be a welcome boost to the industry. 

And then there’s EV charging. Much is made of ‘range anxiety’, but the truth is that the average length of a journey taken in the UK is just 8 miles. That said, it is vital that we have proper coverage for EV chargers and that we address the current north/south divide when it comes to publicly-available and home charging points. 

According to the government’s own figures, there are only 27 charging points per 100,000 people throughout the UK. Unsurprisingly, the areas with the best EV charging coverage are in the South. The Yorkshire and Humber region only has 17 charging points per 100,000 people. London has three times that. That must change under a Labour government. 

And finally, we need to talk about the state of Britain’s roads. Our pothole-ridden surfaces are emblematic of an auto industry that has been neglected for too long. Labour’s commitment to fill in up to 1 million more potholes each year will help put the joy back into driving, make roads safer and reduce insurance and maintenance costs on motorists. 

I’ve dedicated my entire career to cars and the auto industry. I’ve seen good times and I’ve seen bad, but I truly believe that we are on the verge of losing our car-making industry entirely if we not change course. 

Do you agree with Andy Palmer? Which party is getting your vote in the general election on Thursday? Let us know in the comments...

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