Skip advert
Advertisement

Government offers up £500m of taxpayer cash in Jaguar Land Rover loan guarantee

UK Export Finance to cover 80 per cent of £625million JLR loan from 12 commercial banks

Land Rover badge

Half a billion pounds of taxpayer money will be used to guarantee the majority of a loan for Jaguar Land Rover (JLR) to boost its electric vehicle programme.

The total loan is worth £625million and is being provided to JLR by 12 commercial banks. UK Export Finance (UKEF) - a ministerial department of the Government - is guaranteeing 80 per cent of the loan with £500million of taxpayer cash.

The Export Development Guarantee (EDG) will support JLR’s research, development and export of electric cars, the Government says. The guarantee programme was set up to help drive major investment into UK firms.

Advertisement - Article continues below

The backing of UK electric vehicle production is part of the prime minister’s 10-point plan, with the Government directly pumping £850million into the UK automotive supply chain, as well as supporting £2billion of commercial investment via UKEF.

The JLR loan in question will support the firm’s ambitions to invest £2.5billion per year - expected to grow to £3billion per year by March 2026 - in increasing the number of electric cars in its model range.

Anne-Marie Trevelyan, secretary of state for international trade, said: “We are backing our ambitious net zero plans with more concrete action. We want our carmakers to accelerate the production of electric vehicles in the UK.

“This deal from UK Export Finance will help Jaguar Land Rover continue to sell the best of British to the world, while creating jobs, boosting manufacturing and levelling up across the UK.”

Adrian Mardell, chief financial officer at JLR, added: “Jaguar Land Rover is pleased to have worked again with UK Export Finance on this new EDG facility. This will help support the significant investment in our transition to offer a fully electrified product portfolio and to achieve our target of net zero carbon emissions by 2039.”

Check out the new 2022 Range Rover here...

Skip advert
Advertisement
Skip advert
Advertisement

Recommended

Best new cars coming in 2024
Best new cars coming in 2024 - header image
Best cars & vans

Best new cars coming in 2024

There are some big new models from the likes of BMW, Citroen, Dacia, Ford, MINI, Skoda and more on the way in 2024
12 Mar 2024
Jaguar Land Rover pays for more police at UK ports to curb exports of stolen cars
Ships at port
News

Jaguar Land Rover pays for more police at UK ports to curb exports of stolen cars

The Range Rover maker spends ‘several hundred thousand pounds’ in effort to thwart stolen car exports from the UK
7 Feb 2024
Exclusive: Jaguar Land Rover boss sets the record straight on thefts, insurance, parts supply, electrification and more
JLR interview
News

Exclusive: Jaguar Land Rover boss sets the record straight on thefts, insurance, parts supply, electrification and more

JLR’s UK managing director, Patrick McGillycuddy, talks to us about the issues facing the business and its big future plans…
3 Feb 2024
Jaguar Land Rover CEO hits back over Range Rover theft issues
Range Rover action
News

Jaguar Land Rover CEO hits back over Range Rover theft issues

Insurance companies are “not using the data” according to CEO Adrian Mardell
2 Feb 2024

Most Popular

“MG is easily outselling Jaguar, Land Rover and Bentley combined”
Opinion - MG4
Opinion

“MG is easily outselling Jaguar, Land Rover and Bentley combined”

The wave of Chinese cars has arrived in the UK, and Mike Rutherford thinks it’s not about to stop any time soon
17 Mar 2024
New Skoda Epiq electric SUV revives the spirit of the Yeti
Skoda Epiq - front
News

New Skoda Epiq electric SUV revives the spirit of the Yeti

The all-electric Skoda Epiq crossover SUV is set to be fully unveiled next year and is likely to cost around £22,000
15 Mar 2024
Car Deal of the Day: brand new, top-spec VW Tiguan SUV for way less than you think
Volkswagen Tiguan R-Line - front tracking
News

Car Deal of the Day: brand new, top-spec VW Tiguan SUV for way less than you think

The all-new third generation of Volkswagen’s smash hit mid-size SUV is our Car Deal of the Day for 14 March
14 Mar 2024