If there is funding for electric car production it will be a significant step in the motoring industry, according to one industry expert.
If there is funding for electric car production it will be a significant step in the motoring industry, according to one industry expert.
Jonathan Visscher, media manager for the Society of Motor Manufacturers and Traders (SMMT), said if there is money guaranteed to develop more eco-friendly cars then this will put the UK in a good position to be a global leader in the low carbon industry.
International motor manufacturers may also want to pump money into trade and he added: "In the broadest sense it is important – although we are talking about a single manufacturer.
"So the fact that the UK has pledged to support this manufacturer will give the rest of the UK confidence to carry out its commitment to low carbon technology."
Ministers' commitment to ensuring it helps to introduce the next generation of available cars has not waned since the Conservative-Liberal Democrat coalition government took charge, according to Mr Visscher.
Earlier this year, the Department for Business, Innovation and Skills noted the government has shown commitment to supporting the motoring sector.
Some of the announcements made by ministers previously in 2010 to encourage environmentally-friendly vehicles included the Plug-In Car Grant which means private and business fleet consumers would get 25 per cent - a maximum of £5,000 - towards buying a new ultra-low carbon vehicle.
And Plugged-In-Places has also been proposed, which would see electric motor hubs implemented across the country, starting with London, Milton Keynes and the north-east. More than 11,000 devices are planned to be introduced in those areas over the next three years.
Mr Visscher pointed towards the importance of the motoring industry in terms of the overall UK economy in that ten per cent of its overall exports come from the sector.
He added: "The benefit of supporting this industry is broader than just one manufacturer."
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