UK car

Last year, the number of new cars made in the UK fell again by a large amount. It was the lowest number of new cars made in the UK since 1956.

The drop is a 10% drop from last year, which was already a record low.

The Society of Motor Manufacturers and Traders, an industry group, said that production lines were hurt by a continuing shortage of semiconductor chips around the world.

But car companies are worried that the UK doesn’t yet have the plan to make it a competitive place to invest in manufacturing.

The government said it was “determined” to keep the country as one of the best places in the world to make UK cars.

Manufacturers hope to make a million cars again by 2025, but to get back to where they were before the pandemic, they would have to spend a lot of money and bring in new makers.

When it comes to helping manufacturers, the UK is falling behind the US and the EU, which worries businesses.

The Inflation Reduction Act, which is a very important piece of US law, will give billions of dollars in subsidies to UK car companies that build supply chains for electric vehicles in the US.

The head of the SMMT, Mike Hawes, said that this will “suck up” a lot of foreign investment.

The EU is angry and is thinking about how to get back at the US by either directly loosening rules on state aid or doing so under the guise of extending programmes to help Covid recover or boost green technology.

One of the reasons for leaving the EU was to get out of the “straitjacket” of state aid rules, which limited how much help governments could give to industries they liked.

Mr. Hawes said it would be bad for the UK to have to give less help to important industries than we did before we left the EU.

The SMMT said that the numbers were affected by the fact that Honda’s factory in Swindon will close in July 2021 and Vauxhall Astras will no longer be made in Ellesmere Port after April 2022.

Mr. Hawes said that the numbers showed how “hard” it would be to make cars in the UK in 2022, even though the country had made more electric UK cars than ever before.

“It’s clear that building more of these zero-emission models could help this sector grow the economy, but we need to make the right choices now,” he said.

“This means making a plan to speed up the UK’s production of batteries and the switch to electric UK cars, based on the UK automotive sector’s fundamental strengths: a highly skilled and flexible workforce, engineering excellence, technical innovation, and productivity levels that are among the best in Europe,” he said.

The numbers also showed that the country made a record number of electric cars last year, with almost a third of all cars being fully electric or hybrid.

The SMMT said that these cars would bring in £10 billion just from exports.

But the number of cars exported last year was 14% lower than in 2021. This wasn’t enough to make up for the 9.4% increase in the number of cars sold in the UK, where about two out of ten cars were sold.

Britishvolt, a new battery company, went out of business last week, which set back the production of cars in the UK even more.

The company had planned to build a huge factory in Blyth, Northumberland to make batteries for electric cars, but it had trouble making money and ran out of money.

Plans for the £3.8 billion factory in Blyth were part of a long-term plan to make the UK a better place to make batteries for electric vehicles and create 3,000 skilled jobs.

At the moment, there is only one Chinese-owned battery plant in the UK. It is next to the Nissan factory in Sunderland. In the EU, 35 plants are planned or are already being built.

A government spokesman said, “We want to make sure that the UK stays one of the best places in the world to make cars.”

“The £1 billion investment in Sunderland in 2021 is proof of our success, and we are building on this with a major investment programme to make our supply chain electric and create jobs.”