Jaguar Land Rover (JLR) is set to announce an investment in electric cars worth hundreds of millions of pounds.
The carmaker said the range of electric vehicles will be built at its Castle Bromwich plant in Birmingham, starting with its flagship Jaguar XJ model.
The company said it is a move which will secure the jobs of more than 2,700 workers at the plant, after it announced in January that it was planning as many as 4,500 job cuts. There were concerns that without this investment, the Castle Bromwich plant would have closed.
Prof Ralf Speth, chief executive of Jaguar Land Rover, said: “The future of mobility is electric and, as a visionary British company, we are committed to making our next generation of zero-emission vehicles in the UK.”
The announcement comes despite various warnings from the car industry that Brexit would impact investment in the UK, particularly in the no-deal scenario. However, market experts have suggested JLR effectively “ran out of time” to make the decision, given where it is in its product lifecycle.
It comes just a day after the Society of Motor Manufacturers and Traders revealed that sales of low emission vehicles fell for the first time in two years in June. The SMMT blamed confusing policies and the “premature” removal of subsidies.