Britain’s world-leading automotive industry has received a major boost after McLaren Automotive announced a £500 million investment programme which will expand manufacturing, engineering and development in the UK, create at least 1,000 jobs and see the company build its own engines on British soil for the first time.
The iconic supercar manufacturer confirmed on Wednesday that its next generation of vehicles will continue to be built in Britain, with investment planned across its operations in Woking, South Yorkshire, Bicester and the Midlands, alongside a new UK vehicle assembly facility.
The programme forms part of a wider commitment from McLaren shareholder L’IMAD, a sovereign investor of the Government of Abu Dhabi, and represents a significant vote of confidence in British engineering, advanced manufacturing and automotive skills.
McLaren traces its history back to 1963, when racing driver and engineer Bruce McLaren founded the company. Britain later became home to the development and production of the legendary McLaren F1, one of the most celebrated supercars ever made.
Under the new plans, McLaren will increase its UK production capacity as it develops a broader range of vehicles, including a newly confirmed performance SUV. A new vehicle assembly facility is planned in Britain to accommodate the expansion.
In another major development, McLaren will bring the design and manufacture of its future powertrains in-house for the first time in the company’s history.
The programme will begin with two new engines and transmissions, supporting McLaren’s future hybrid strategy and building upon technology developed through cars including the McLaren P1.
Existing British facilities will also benefit. Operations are set to expand at the McLaren Production Centre in Woking and at the McLaren Composites Technology Centre in South Yorkshire, where the company develops and manufactures advanced carbon-fibre technology.
McLaren has also recently established a design and innovation centre at its Creation Centre in Bicester, alongside an engineering, testing and vehicle development operation at MIRA in the Midlands.
Together, the sites are intended to create an increasingly integrated British operation, taking McLaren vehicles from their earliest design and engineering stages through development, carbon-fibre technology and advanced manufacturing to final production.
The expansion is expected to create at least 1,000 new direct and indirect jobs across McLaren’s UK operations by 2032, while safeguarding existing positions.
McLaren expects its British manufacturing workforce to double and plans new apprenticeships to help train another generation of highly skilled engineers and manufacturing workers.
The benefits could stretch considerably further into the wider British motor industry, with up to 3,000 additional jobs expected to be supported across the automotive supply chain.
The investment will also keep important intellectual property and manufacturing capabilities in Britain, while strengthening McLaren’s expertise in areas in which British engineering has established an international reputation, including lightweight construction, carbon fibre and advanced manufacturing.
Jassem Al Zaabi, Managing Director and Group Chief Executive Officer of L’IMAD, said: “Over the past 20 months, L’IMAD has worked closely with McLaren Automotive’s management team, supporting the business in sharpening its strategic direction and positioning itself for long-term growth. This investment reflects our confidence in its potential and our commitment to backing the business through its next chapter, building on the heritage, engineering excellence, and distinctive brand that has defined McLaren for more than six decades.”
Nick Collins, Chief Executive Officer of McLaren Group Holdings and McLaren Automotive, said: “This investment gives us the platform to grow, develop and build on what makes us distinctive, while investing in the people, technologies and products that will keep us competitive for decades to come.”
The Government welcomed the announcement, with ministers visiting McLaren’s Technology Centre in Woking on Wednesday. Prime Minister Andy Burnham described the decision as McLaren “doubling down on Britain”, while Business Secretary Jonathan Reynolds called it a major vote of confidence in the country’s automotive sector.
For Britain, however, the significance stretches beyond one manufacturer. McLaren competes at the very top of a fiercely competitive global automotive industry, and its decision means more design, more engineering, more advanced manufacturing and, for the first time, McLaren’s own engines being developed and built here in the United Kingdom.
From Woking to South Yorkshire, Bicester to the Midlands, the next chapter of one of the world’s most famous performance car brands will continue to carry a very British hallmark: designed, engineered and built in Britain.
