BMW stalls UK electrical Mini manufacturing as a consequence of ‘business uncertainty’


By Gareth Roberts
BMW is delaying the reintroduction of electrical car manufacturing to its Oxford Mini plant as a consequence of “a number of uncertainties going through the automotive business”.
The German producer has determined to pause work on the £600 million improve of its manufacturing facility in Cowley and never settle for a associated £60m grant from the Authorities.
BMW, the proprietor of Mini, stated in an announcement: “Plant Oxford is on the coronary heart of Mini manufacturing, manufacturing and exporting a spread of fashions, that are wanted within the UK and all over the world.
“Nevertheless, given the a number of uncertainties going through the automotive business, the BMW Group is presently reviewing the timing for reintroducing battery-electric Mini manufacturing in Oxford.”
BMW introduced the £600m funding within the Mini factories in Oxford and Swindon in 2023, to organize for all-electric manufacturing from 2030.
The Oxford plant was gearing-up to construct two new all-electric Mini fashions from 2026, the three-door Mini Cooper and the compact crossover Mini Aceman. A 3rd electrical mannequin, the Countryman, was as a consequence of be made in Germany.
BMW stated a lot of its funding was nonetheless progressing, with development “effectively below option to make the plant future-ready”, together with a venture to construct a brand new “state-of-the-art logistics facility”.
Nevertheless, the assertion added: “We’ve got knowledgeable the UK authorities of our determination to evaluate the timeline for reintroducing battery-electric manufacturing in Oxford.
“As a part of this dialogue, we agreed to not take the beforehand introduced grant, however we stay in shut dialogue about our future plans.”
Carmakers have raised considerations over EV targets set out within the Authorities’s zero emission car (ZEV) mandate.
It was blamed, partly, for the closure of Vauxhall’s manufacturing facility in Luton by house owners Stellantis.
A fast-track session on the ZEV mandate and ending the sale of latest inner combustion engine (ICE) vehicles from 2030, closed final week.
The Division for Transport (DfT) stated it recognised the challenges automotive producers have been going through and was listening to considerations.
It stated it was consulting on reinstating the 2030 EV deadline whereas additionally “defending jobs”, a call it stated was “supported by a majority of producers who’ve been working in the direction of this date and are on monitor to satisfy their ZEV mandate targets”.
The DfT stated it was investing greater than £2.3bn to assist business and customers to make the swap to electrical.