UK needs a strategy to develop home-grown battery industry before it’s too late, tech boss warns
The UK government must continue to support the creation of a British battery industry, a senior tech boss has warned, as a growing number of firms are being pulled towards the US due to its attractive investment environment.
Alan Hollis, chief executive of battery cell specialist AMTE Power – Britain’s only surviving home-grown battery producer – said the sector was of vital importance to the UK’s green transition, supporting both electric vehicles and renewable power storage.
“We need to make sure that we are creating the UK battery industry at sufficient scale so that we can have the infrastructure and the global supply chain to support a battery industry, because it’s critical to drive to net zero and are our own energy security,” Hollis told Morning Wire
But he said the UK needs to get an industrial strategy to develop the sector in place as soon as possible.
“We’ve got to get an end-to-end industrial strategy in place and, hopefully, the government in the autumn statement will come forward with some excellent proposals on creating the right environment to drive investment into the UK battery industry,” he said.
Hollis said it was “absolutely possible” for the West to challenge China’s dominance in the market.
“It’s not something that can happen overnight and this is why there’s an awful lot of battery production facilities and supply chains being developed in Europe and North America at this particular moment in time,” he said.
Hollis’ comments follow the collapse of Britishvolt, which was supposed to be the hub of the UK’s electric vehicle battery ambitions. It was later sold to Aussie rival Recharge.
It also follows the unveiling of $400bn in green subsidies included in US Inflation Reduction Act, which has seen a host of firms pivot to invest there to take advantage of the more lucrative investment climate now on offer.
In light of the act, Hollis previously hinted to Sky News that his firm could consider moving a huge chunk of its operations across the pond.
But Hollis said the company is still going ahead with developing its manufacturing facilities in Thurso, Scotland.
“I’m confident that we will be able to develop our facility here in the UK, because that’s what we want to do,” he said.