Question to the Department for Transport:

To ask the Secretary of State for Transport, what steps he is taking to ensure that the £1 billion of Government support for the electrification of vehicles and their supply chains includes (a) rural SMEs and (b) farms.

In November 2020, the Prime Minister announced a 10 Point Plan for a green industrial revolution, making clear our ambition to end the sale of new petrol and diesel cars and vans by 2030. To achieve these ambitions to accelerate the UK’s transition to zero emission vehicles, it is vital that we develop our capacity to manufacture key components for these vehicles, including batteries. The Automotive Transformation Fund has been set up to support the creation of a localised, internationally competitive electric vehicle supply chain right here in the UK.

As part of the Net Zero Strategy, a further £350m of funding was announced for the Automotive Transformation Fund (ATF). This is additional to the £500m of funding previously announced. The ATF supports R&D and capital investments across strategically important parts of the electric vehicle supply chain. The fund is open to applications from large, medium and small companies, provided they can demonstrate how their proposed project meets the ATF’s key objective of supporting the key elements of the electrification of the automotive sector. These technologies developed with HMG support, will be of benefit in the production of a range of types of vehicles including off-road vehicles as well as passenger cars and vans.

Government regularly engages with manufacturers, including supply chain businesses and automotive trade associations on opportunities to support the growth and competitiveness of the sector in the UK