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Select committee: Business, Innovation, Science and Trade Committee

Second Special Report - Batteries for electric vehicle manufacturing: Government Response to the Committee’s First Report of Session 2023-24

Published 14 February 2024

Business, Innovation, Science and Trade Committee Batteries for electric vehicle manufacturing Report on parliament.uk ↗

At a glance

The government's response

This document responds to First Report - Batteries for electric vehicle manufacturing.

This is the government's response, published 14 February 2024.

Summary written by Accountability Index from the government's response. It is not the government's own words.

The government's response sets out existing and announced support for batteries, while declining fixed supply-chain targets and a subsidy race and leaving offtake agreements to commercial parties.

  • On the proposed 90% domestic supply target, the government says the Strategy has not set fixed targets, and that onshoring all aspects of critical mineral supply chains is not "possible (or even desirable)".
  • On international competitiveness, it says the UK "won't be drawn into a distortive subsidy battle" and points to £2 billion of capital and R&D funding for zero emission vehicles, batteries and supply chains to 2030.
  • On offtake agreements, it says these "remain a matter for the commercial parties involved to negotiate". On Tata's subsidy, it will publish details on the UK Subsidy Database "in due course".
  • On battery passports, the response notes the Strategy's points on data and regulation, and commits to Defra consultations in 2024 and a UK Carbon Border Adjustment Mechanism by 2027, with design details "subject to consultation in 2024".

Read the government's response ↗ Report an error

Sources