London Daily

Focus on the big picture.
Saturday, Feb 22, 2025

Johnson pledges legal help to woo electric vehicle giant Rivian to Britain

Johnson pledges legal help to woo electric vehicle giant Rivian to Britain

The PM has told Rivian boss RJ Scaringe that the government would use a special development order to facilitate the rapid construction of a new manufacturing plant at a site near Bristol.

Boris Johnson has pledged to use special legal powers to persuade an electric vehicle (EV) manufacturer backed by Amazon to establish a European base in Britain.

Sky News has learnt that the prime minister has written to RJ Scaringe, founder and chief executive of Rivian, to offer his backing for the proposed location of a new manufacturing plant at a site near Bristol.

In the letter, details of which have been shared with Sky News, Mr Johnson said that government officials had been instructed to devise a "bespoke incentives package" to encourage Rivian to give the green light to the UK project.

The PM added that the government would use a special development order (SDO), a rarely used legal power aimed at enabling rapid planning decisions, to facilitate Rivian's use of the site, called Gravity.

R.J. Scaringe is the company's founder


He said his readiness to use an SDO "reflects the importance of your project to the UK", according to an account of his letter.
Advertisement

Further details of the government incentives package that would be made available to Rivian were unclear on Friday but could include grants or tax allowances, according to one insider.

Government aid to the UK automotive industry has proved to be contentious in the past, most notably in relation to the Japanese car maker Nissan, but have been a key tool for ministers in securing substantial manufacturing commitments from multinationals such as Ford in recent months.

A delegation led by Lord Grimstone, the minister for investment, is expected to hold further talks with senior Rivian executives before Christmas, insiders said.

Sky News revealed in September that Mr Johnson had urged Jeff Bezos, the Amazon chairman, to help clinch a deal for Rivian to build a new plant in the west of England.

He raised the issue during a meeting with Mr Bezos in New York, soon after executives from the EV manufacturer visited the UK.

"I want to utilise our world-leading green economy, and build on our extensive automotive heritage to partner with Rivian as one of the most exciting disruptors in the sector alongside some of the world's most iconic car brands already based here," Mr Johnson's recent letter said, according to a person who had seen it.

"The UK's innovation scene is thriving due to the steps my government has taken to invest in the electrification of the automotive sector underpinned by my personal commitment to the industry.

"My net zero strategy set out over £2.8bn of funding commitments to support the transition to EVs focusing on R&D, manufacturing, battery supply chains, infrastructure and demand stimulation.

"This institutional support alongside our zero emission vehicle mandate - much like that of California's - provide the perfect base from which Rivian can excel and establish itself in the European market."

Rivian listed in New York last month, with its value surging to make the EV manufacturer more valuable than both Ford and General Motors, the two biggest icons of the US automotive industry.

Its stock has since fallen back, although it remains well above the initial public offering price.

If it does press ahead with a manufacturing project in Britain in the face of competition from several EU countries, it would provide fresh evidence against forecasts that the country's automotive sector was headed for terminal decline after Brexit.

Honda's decision to close its plant in Swindon, announced in 2019, was seen as a major blow to the industry, with Nissan warning that its future investment would be jeopardised if Britain left the trading bloc.

Recent developments involving both the Japanese carmaker and Stellantis have revived hopes of a brighter future for automotive manufacturing in the UK.

The government's decision to ban the sale of new petrol and diesel cars by 2030 and hybrid vehicles by 2035 has accelerated the need for a huge shift in manufacturing capability.

There remain significant concerns, though, that the provision of EV charging infrastructure will fail to keep pace with demand.

Sky News revealed during the summer that Rivian had identified Gravity, a 616-acre campus near Bristol, as a potential site for a new manufacturing plant.

The company's biggest customer to date is Amazon, which has placed an order for 100,000 EV trucks, production of which is scheduled to start this year.

In his letter to Mr Scaringe, the PM added that he was confident of support from British companies including BT Group, British Gas-owner Centrica and Royal Mail Group, which are among the largest operators of van fleets in Britain.

They, and other companies, have pledged to buy at least 100,000 British-made electric vans by the end of the decade.

Downing Street and Rivian have both been contacted for comment.

Newsletter

Related Articles

0:00
0:00
Close
UK Prison Officer Sentenced for Inappropriate Conduct with Inmate
Good News: Senate Confirms Kash Patel as FBI Director
Officials from the U.S. and Hungary Engage in Talks on Economic Collaboration and Sanctions Strategy
James Bond Franchise Transitions to Amazon MGM Studios
Technology Giants Ramp Up Lobbying Initiatives Against Strict EU Regulations
Alibaba Exceeds Quarterly Projections Fueled by Growth in Cloud and AI
Tequila Sector Faces Surplus Crisis as Agave Prices Dive Sharply
Residents of Flintshire Mobile Home Park Grapple with Maintenance Issues and Uncertain Future
Ronan Keating Criticizes Irish Justice System Following Fatal Crash Involving His Brother
Gordon Ramsay's Lucky Cat Restaurant Faces Unprecedented Theft
Israeli Family Mourns Loss of Peace Advocate Oded Lifschitz as Body Returned from Gaza
Former UK Defense Chief Calls for Enhanced European Support for Ukraine
Pope Francis Admitted to Hospital in Rome Amid Rising Succession Speculation
Senate Republican Leader Mitch McConnell, at the age of 83, Declares His Retirement.
Whistleblower Reveals Whitehall’s Focus on Kabul Animal Airlift Amid Crisis
Politicians Who Deliberately Lie Could Face Removal from Office in Wales
Scottish Labour Faces Challenges Ahead of 2026 Holyrood Elections
Leftwing Activists Less Likely to Work with Political Rivals, Study Finds
Boris Johnson to Host 'An Evening with Boris Johnson' at Edinburgh's Usher Hall
Planned Change in British Citizenship Rules Faces First Legal Challenge
Northumberland Postal Worker Sentenced for Sexual Assaults During Deliveries
British Journalist Missing in Brazil for 11 Days
Tesco Fixes Website Glitch That Disrupted Online Grocery Orders
Amnesty International Critiques UK's Predictive Policing Practices
Burglar Jailed After Falling into Home-Made Trap in Blyth
Sellafield Nuclear Site Exits Special Measures for Physical Security Amid Ongoing Cybersecurity Concerns
Avian Influenza Impact on Seals in Norfolk: Four Deaths Confirmed
First Arrest Under Scotland's Abortion Clinic Buffer Zone Law Amidst International Controversy
Meghan Markle Rebrands Lifestyle Venture as 'As Ever' Ahead of Netflix Series Launch
Inter-Island Ferry Services Between Guernsey and Jersey Set to Expand
Significant Proportion of Cancer Patients in England and Wales Not Receiving Recommended Treatments
Final Consultation Launched for Vyrnwy Frankton Power Line Project
Drug Misuse Deaths in Scotland Rise by 12% in 2023
Failed £100 Million Cocaine Smuggling Operation in the Scottish Highlands
Central Cee Equals MOBO Awards Record; Bashy and Ayra Starr Among Top Honorees
EastEnders: Four Decades of Challenging Social Norms
Jonathan Bailey Channels 'Succession' in Bold Richard II Performance
Northern Ireland's First Astronaut Engages in Rigorous Spacewalk Training
Former Postman Sentenced for Series of Sexual Offences in Northumberland
Record Surge in Anti-Muslim Hate Crimes Across the UK in 2024
Omagh Bombing Inquiry Concludes Commemorative Hearings with Survivor Testimonies
UK Government Introduces 'Ronan's Law' to Combat Online Knife Sales to Minors
Metal Detectorists Unearth 15th-Century Coin Hoard in Scottish Borders
Woman Charged in 1978 Death of Five-Year-Old Girl in South London
Expanding Sinkhole in Godstone, Surrey, Forces Evacuations and Road Closures
Bangor University Announces Plans to Cut 200 Jobs Amid £15 Million Savings Target
British Journalist Charlotte Peet Reported Missing in Brazil
UK Inflation Rises to 3% in January Amid Higher Food Prices and School Fees
Starmer Defends Zelensky Amidst Trump's 'Dictator' Allegation
Zelensky Calls on World Leaders to Back Peace Efforts in Light of Strains with Trump
×