A new national centre of excellence to develop the latest electric car battery technology will be based in Coventry after the Government announced £28 million funding.

The investment in the UK Battery Industrialisation Centre will, according to ministers, provide a stepping stone for a Gigafactory in the UK – a large-scale battery technology factory for electric vehicles.

This latest investment comes on top of an £80m initial investment in the centre, which will provide world-leading testing facilities for new battery technologies. The money will also provide practical training to upskill people in battery manufacturing.

Business and Industry Minister Andrew Stephenson said: “Driven by the potential of fast-paced development of battery technology, this investment puts the UK – amongst a handful of countries around the world – on the next step to meet the challenge by the future of mobility.”

Mayor of the West Midlands Andy Street, added: “For Coventry to boast the UK’s Battery Industrialisation Centre is a major coup for the city and the wider West Midlands.

“This £108 million facility will give the city and the region a huge boost in the race to lead the world in the production of electric vehicles, which is an increasingly important market as we look to tackle air pollution and climate change.”