In the News
Jaguar cars to go fully electric by 2025
16th February 2021
Jaguar Land Rover, the biggest manufacturer of cars in the UK, today announced that all of its Jaguar models will be fully electric by 2025.
The move will see the company spend £2.5 billion a year on new technologies (such as hydrogen fuel cells) to prepare itself for the government's plan to ban sales of wholly petrol/diesel cars by 2030. This investment will generate positive externalities by creating jobs in the sector but also improving the quality of electric vehicle production - helping to reduce costs and make EV's more affordable for the average consumer.
Such investment could help to put the UK at the forefront of electric vehicle production and inject some life into the UK's manufacturing sector - which has been hit by cheaper overseas manufacturing and Brexit in recent years. Investment in the UK's productive capacity could help to shift LRAS rightwards and so stimulate economic growth without causing a large increase in inflation.
Jaguar cars to be all-electric by 2025 https://t.co/uYm40R6eav
— BBC News (UK) (@BBCNews) February 15, 2021
This announcement was accompanied by reports that Coventry Airport could be the site for a new 'gigafactory' for battery production - with JLR, Aston Martin and BMW Mini all having manufacturing bases in the area. Think about how the multiplier effect will have a role in stimulating aggregate demand if such plans were to go ahead.
Electric car battery plant plan for Coventry Airport https://t.co/vflE50TH3X
— BBC News (UK) (@BBCNews) February 16, 2021
You might also like

UK car production collapses to lowest for 66 years
27th January 2023

Economic Growth and Development - Vehicle Manufacturing in Rwanda
26th January 2023

30% rise in public electric car charging points in the UK in 2022
3rd January 2023
Interest rates and business investment - chain of reasoning
Practice Exam Questions

Is taxing electric cars a possible government failure?
18th November 2022

Electric Vehicles - Ford Commits to Insourcing
16th November 2022

Can China’s electric car boom last?
11th October 2022